New Ethereum-backed stablecoin is reportedly released, and will be functioning as a purely decentralized stablecoin alternative, in a bid to stabilize the DeFi sector. 

Specifically, the RAI – developed by blockchain firm Reflexer Labs – reportedly has a primary target of functioning as a stable international reserve asset not connected to any fiat currency, utilizing an on-chain, autonomous controller for monetary policy management. 

“RAI is an asset backed only by ETH, governance-minimized, and programmed to maintain its own price stability without needing to peg to an external price reference like the USD.” RAI co-founder Ameen Soleimani reportedly offered a specific explanation. 

Soleimani reportedly believed that RAI – which he referred to as “A Money God” – offers a larger potential beyond the scope of only streamlining the DeFi space. 

“Our aspirations for RAI, however, are more profound — if RAI fulfills its purpose within DeFi and starts to earn global adoption, it could prove to be a viable solution to the Triffin Dilemma, and bring credible neutrality to the administration of a stable global reserve asset.”

 The asset has reportedly been rolled out across the Ethereum blockchain and is available via Uniswap v2, with details on liquidity mining pools scheduled to be revealed in the next weeks. 

Despite operating as a stablecoin, it’s not pegged to the value of USD and firstly, RAI’s redemption price will reportedly be standing at $3.14. An instant use case for the DeFi sphere as forecasted by the team will be a measure for steering clear from liquidation on strong price fluctuations for Ethereum and different other digital coins.