CoinDesk Overnight Rates (CDOR) have been officially introduced in collaboration with Sentora. These rates are intended to support financial conditions in the stablecoin market.
What are CDOR Interest Rates?
CDOR is the first benchmark interest rate derived from Aave's pools, providing standardized overnight rates for major stablecoins. They are calculated and published daily, accessible to exchanges and financial institutions.
Support and Benefits for Financial Markets
These rates aim to support strategies for hedging and securing yields. According to Stani Kulechov, founder of Aave, CDOR offers transparent, risk-free lending rates that unlock new use cases for stablecoins.
Market Response and Future Plans
Futures contracts based on CDOR rates are in development, providing market participants with new tools for risk management. Market participants such as Galaxy and Tyr Capital have expressed support and confidence in the future compatibility of DeFi and traditional finance.
With the launch of CDOR, new opportunities for profitability and risk management in the stablecoin space are created, fostering the continued growth of both DeFi and traditional financial markets.
