DJED Goes Open Source, Unlocking the Path to the World’s First Multi-Chain Private Stablecoin

COTI

4 min readAug 8, 2025

At Rare Evo, COTI proudly unveiled the next evolution of DJED, the algorithmic stablecoin built on Cardano. DJED was pioneered by COTI and IOG in 2023 and has proven itself as one of the most resilient stablecoins in the space.

Now, it’s introducing three major developments that mark DJED’s transformation into a new kind of digital asset that ushers in a new class of use cases, strengthening its long-term position as a core infrastructure for Web3.

DJED Gets Powerful Open Source Features

DJED has consistently held its peg since inception, outperforming its peers and making it the most robust stablecoin on the market. Now, COTI is open-sourcing key parts of the Djed infrastructure (order API, chain indexer, frontend) to empower developers and communities to build around it.

Developers will be able to:

Build custom frontends for DJED
Integrate DJED functionality into wallets or dApps
Run backend services to interact securely with it

IOG stated: “Open-sourcing DJED gives Cardano developers the ability to inspect, extend, and build directly on the protocol, with transparency, driving faster innovation and deeper trust. This is a complex system engineered for uniquely high assurance: it’s grounded in formal methods, backed by very thorough testing, and has been running reliably on mainnet for 2.5 years.”

Private DJED: Privacy-Preserving Stablecoin for Cardano, COTI, and Midnight

COTI will also introduce Private DJED, the first enterprise-ready, private stablecoin to launch across multiple chains.

DJED On COTI

With the open sourcing of DJED, COTI will introduce a wrapped version of DJED into its own blockchain infrastructure.

COTI is a powerful home for Private DJED and a game-changer for enterprises, institutions, and privacy-conscious users. Not only will users be able to send, receive, and interact with it confidentially, but COTI’s capabilities extend the ability of Private DJED to be used within more complex dApps and DeFi flows. Private DJED is suitable for fully private DeFi, supply chain finance, enterprise, RWA markets, and many more use-cases.

COTI’s privacy layer, powered by garbled circuits, enables fast, light, and scalable privacy that will turn DJED into a privacy-first financial primitive that can operate at speed and scale.

Private DJED on Cardano (via COTI’s privacy layer)

COTI will also launch a confidential version of DJED on Cardano that will leverage COTI’s privacy-on-demand capabilities. This gives users access to COTI’s comprehensive privacy features without leaving the native Cardano chain.

As it stands, Cardano is the home of DJED’s native stable asset infrastructure, but Private DJED will ensure that this foundation is ready for the next wave of adoption. COTI’s programmable privacy will mean users can decide when, how, and with whom sensitive transaction data is shared.

Users will be able to:

Send and receive DJED privately
Ensure transaction details such as amounts and wallet addresses are known only to selected parties
Remain compliant while preserving on-chain privacy

Private DJED Goes Multi-Chain on Midnight

In addition, COTI will also deploy a wrapped version of Private DJED on Midnight, the privacy-focused sidechain developed for Cardano. Midnight’s confidential smart contracts make it a great home for privacy-first applications. By introducing a stable, compliant, and privacy-preserving asset, COTI can help the Midnight ecosystem to serve its users secure, shielded stablecoin transfers, ideal for institutions, enterprises, and privacy-conscious users.

Midnight is also designed for interoperability. As a purpose-built sidechain within the Cardano ecosystem, it supports interaction with multiple blockchains such as Solana, XRP, and Avalanche. Through the deployment of Private DJED, COTI is transforming DJED from a single-chain stablecoin, facilitating private stablecoin flows through Midnight’s multi-chain user base, and creating a hub for cross-chain stablecoin activity.

Why It Matters

DJED will be the first stablecoin with native privacy support across multiple chains and privacy layers, whilst providing the foundation for both open and private finance. But this isn’t just about infrastructure, it’s also about ecosystem expansion. Cardano has an estimated 1 million active users and hundreds of projects building on it, and Midnight has an even bigger reach of an estimated 12–18 million users from eight different blockchains. DJED is arguably the first privacy stablecoin with serious institutional and cross-chain potential, and COTI is the privacy layer that connects them all.