Fuse Will Use Chainlink Proof of Reserve to Mint and Verify the Collateralization of FuseDollar (fUSD)
Our Chainlink Proof of Reserve integration will bring secure, reliable, and efficient minting and auditing of Fuse Network’s collateralized stable coin FuseDollar (fUSD), ensuring it is 100% backed by USD Coin (USDC) deposited in a dedicated Ethereum smart contract.
Fuse Network is developing into a strong and independent decentralized finance (DeFi) institution now with over 5 million total transactions and reaching an all-time high in total value locked (TVL) of $8.6 million. However, interoperability with the wider blockchain ecosystem remains a core part of our strategy. Part of doing so means leveraging the best innovations in the space to provide an optimal user experience.
One of these innovations is stable coins, which have been game-changing for industry growth. The top two stable coins by market capitalization — Tether’s USDT and Circle’s USDC — have grown exponentially in utilization and quality of issuance over the last few years, with total values at the time of writing of $32 billion and $7.3 billion, respectively.
As announced in a recent article, Fuse is launching its own network-native stable coin to bolster ecosystem growth, boost liquidity, and power Fuse Cash — the upcoming mobile payments wallet intended for the consumer market.
“Chainlink’s oracles will undoubtedly be integral to the success of our mission to radically democratize blockchain-powered payments and services, starting with Proof of Reserve on one of our most fundamental assets, the FuseDollar stablecoin. By ensuring FuseDollars are 100% collateralized at all times, users receive much-needed stability and cross-chain functionality while retaining the high security and transparency they are accustomed to on the Fuse platform.”
Mark Smargon, CEO at Fuse
“We look forward to empowering Fuse’s blockchain ecosystem by providing them with a Chainlink Proof of Reserve oracle solution that automates the auditing of FuseDollars. This removes the need for manual checks and brings additional assurances to the reliability of FuseDollars as a form of payment and DeFi collateral.”
Daniel Kochis, Head of Chainlink Business Development
In addition to powering FuseDollar, Chainlink will serve as the recommended oracle provider for developers building on the Fuse Network, as well as serve as the oracle solution for other FuseX assets launched in the future. We are extremely excited by the prospects of this integration, which ultimately enables us to grow our platform both in the crypto space and beyond.
Chainlink is the most widely used and secure way to power universally connected smart contracts. With Chainlink, developers can connect any blockchain with high-quality data sources from other blockchains as well as real-world data. Managed by a global, decentralized community of hundreds of thousands of people, Chainlink is introducing a fairer model for contracts. Its network currently secures billions of dollars in value for smart contracts across the decentralized finance (DeFi), insurance and gaming ecosystems, among others.
Chainlink is trusted by hundreds of organizations to deliver definitive truth via secure, reliable data feeds. To learn more, visit chain.link, subscribe to the Chainlink newsletter and follow @chainlink on Twitter.
Fuse Network is a scalable platform for token-using applications built upon an Ethereum-compatible proof-of-stake blockchain. Its key features are Fuse Studio and the Fuse white-label wallet. True to its mission of bringing blockchain-powered transactions to the masses, Fuse enables the rapid creation of communities around customized tokens. Among the projects already running on Fuse are GoodDollar and Wikibank.