Interlay developers launch stablecoin iBTS backed by bitcoin

The developers of the Interlay community have launched a new stablecoin, interBitcoin (iBTC), which is backed by the value of the flagship cryptocurrency.

As it became known, interBitcoin operates on the Polkadot network and is compatible with Moonbeam and Acala platforms (the AUSD stablecoin recently fell in price by 99% due to a hacker attack). The developers also announced the availability of $ 1 million, which will be used to finance the project’s expansion. In the near future, iBTC is planned to be launched on the Ethereum, Cosmos, Solana, and Avalanche platforms.

According to Interlay co-founder and CEO Alexei Zamyatin, iBTC differs from other stablecoins in that users «only need to trust bitcoin and the Polkadot network.» The stablecoin has developed an automatic process of reimbursement of lost BTC, but it is not yet clear how and under what conditions such a service will be available.

As a reminder, the previous stablecoin operating on the Polkadot network was subjected to a hacker attack and lost 99% of its value. As it became known, fraudsters managed to independently mint $ 1.28 billion worth of AUSD stablecoins, as a result of which AUSD lost its peg to the dollar and fell to $ 0.009. Users hope that the new iBTC stablecoin will not join the list of «stable» cryptocurrencies that have lost their promised stability.