Charli3 Oracles adoption continues with MEHEN Finance for use of their USDM fiat-backed stablecoin, providing trust and transparency to their operations.
MEHEN has begun the path to integration of Charli3 Oracles for their stablecoin, ensuring 3rd party verification of their fiat reserves. Currently, testing is ongoing on pre-prod test-net before launching on main-net. (links to testing proof coming soon)
This uses Charli3’s Proof of Reserve (PoR) oracle function. The Charli3 decentralized node network will be responsible for providing transparency about the reserves held by MEHEN and posting those values on-chain to manage the minting and burning mechanisms of the stablecoin.
How does it work?
(written by MEHEN)
To perform this operation, Charli3 utilizes Application Programming Interfaces (APIs), which are essentially sets of rules that dictate how software components should interact. In this scenario, the API serves as a bridge between the oracle service and Mehen’s bank accounts.
When Mehen decides to mint new USDM tokens, Charli3’s decentralized node network accesses the bank’s account information through the API. It verifies the reserve balance and publishes the details on the blockchain. This information becomes a part of the smart contract of the USDM token, ensuring that every token minted is directly tied to a verifiable fiat reserve.
learn about proof of reserve oracles here: https://medium.com/@oraclecharli3/proof-of-reserve-oracles-7348fac406cb
Mehen brings the USDM fiat-backed stablecoin to Cardano. They have built the first mechanism for deploying a fiat-backed stablecoin with on-chain global state control in a eUTXO environment.