Cardano’s DJED Stablecoin Levels Up: Privacy Features & Open-Source Tools Go Live
Cardano's algorithmic stablecoin just got a stealth upgrade. DJED—the self-styled 'crypto dollar' built on proof-of-stake—unveils privacy features and open-source tooling, daring TradFi to keep ignoring DeFi's creep into mainstream finance.
Privacy meets stability
Zero-knowledge proofs now cloak transaction details without compromising DJED's 1:1 USD peg. Developers get modular tools to build atop the protocol—because apparently banks need open-source handholding to join the 21st century.
The cynical kicker? These upgrades land as Wall Street still struggles to launch a compliant stablecoin. Somebody check on the SEC's blood pressure.
Cardano Open-Source Features to Encourage Innovation
One of the key changes to DJED is its transition to open-source. By releasing key parts of the code to the public, IOG and COTI aim to drive faster innovation and provide greater transparency for the DJED ecosystem. Developers will be able to inspect, extend, and build directly on the DJED protocol, fostering deeper trust within the community.
In case you missed it, DJED is evolving into the world’s first multi-chain private stablecoin. Open, privacy-preserving, and built for the next era of Web3. Here’s how DJED, @Cardano's stablecoin, developed by COTI and @InputOutputHK, is entering a new era!… pic.twitter.com/nvtVnkjRmP
— COTI Foundation (@COTInetwork) August 10, 2025
As DJED has been running reliably on the Cardano blockchain for 2.5 years, it has proven to be a stable and secure digital asset. The open-source move also allows the DJED protocol to be more flexible, enabling developers to create new use cases and improve upon its existing features. The shift to open-source also aligns with the ethos of Web3, where decentralization and transparency are essential.
“Its design is grounded in formal methods, backed by extensive testing,” said IOG. “This is a complex system engineered for uniquely high assurance.”
Private DJED to Support Enterprises and Institutions
Another major upgrade to DJED is the introduction of the Private DJED version, which aims to cater to enterprises and institutions that require confidentiality. This private iteration of DJED will incorporate a privacy layer, allowing users to send and receive the stablecoin securely and anonymously. This feature is crucial for companies and institutions that prioritize privacy while still participating in the growing DeFi and Web3 spaces.
The private version will be multi-chain, enabling it to work across various blockchains. COTI’s focus on privacy extends to the use of garbled circuits, an encryption method that ensures reliable and scalable privacy infrastructure. This will allow DJED to be incorporated into more complex decentralized applications (dApps), where privacy is paramount.
“The private version of DJED is designed to be enterprise-ready,” COTI stated, adding that the stability and privacy features will ensure that it remains compliant while protecting sensitive information.
