CoinDesk, in collaboration with Sentora, has launched the CoinDesk Overnight Rates (CDOR), which transforms Aave's lending data into standardized interest rates for stablecoins.
What is CDOR?
CDOR represents a new benchmark interest rate that converts lending data on the Aave platform into standardized interbank rates for stablecoins such as USDC and USDT.
Prospects and Efficiency of CDOR
The establishment of CDOR is a significant step towards bridging decentralized finance and traditional financial markets, providing transparent and reliable rates for various financial products. Aave Labs founder Stani Kulechov noted that the project enables the creation of an automated financial infrastructure, potentially leading to new DeFi use cases.
Key Players and Development
To support liquidity and adoption of CDOR, key market players such as Galaxy and FalconX will serve as founding market makers. Additionally, exchange-traded futures linked to CDOR are already in development, signaling a rise in institutional integration within DeFi.
CDOR from CoinDesk represents a forward step in the development of stablecoin markets, highlighting the importance of integrating traditional financial tools into decentralized finance.
