Standard Protocol
Collateralized rebasable stablecoin protocol for synthetic assets.
Standard Protocol is a decentralized finance (DeFi) protocol that introduced the first Collateralized Rebasable Stablecoin (CRS) for synthetic assets, operating across multiple blockchain ecosystems. It was founded in 2021 by Hyungsuk Kang and Jaewon Shin. The protocol aims to address the volatility and instability prevalent in many DeFi protocols by creating a stable medium of exchange.
The protocol operates on a three-token system to maintain stability and facilitate governance. The primary stablecoin, Meter ($MTR), is generated by users who post collateral in a vault. Standard ($STND) serves as the network and governance token, allowing holders to participate in on-chain governance and receive a share of the stability fees. The third token, Liter ($LTR), is a liquidity provider token that represents a share in the protocol's automated market maker (AMM) module.
Standard Protocol's core mechanism involves over-collateralization and a rebasable supply to ensure the stablecoin's peg. This system tempers the volatility seen in purely algorithmic stablecoins with the stability of collateralized solutions. It supports various cryptocurrencies like Bitcoin and Ethereum and is built on the Polkadot network to leverage a user-friendly and inexpensive blockchain experience. The business model generates revenue through a stability fee, an AMM fee, and a GameFi payment gateway. To date, the project has raised over $2 million from venture capital firms, including CMS, DFG, and Genblock Capital.