Was thinking of a scenario (a likely one) when Indigo will not be the only synthetic asset protocol on Cardano
That said, what differentiation will the fungible asset iBTC from Indigo have from a theoretical jBTC from Protocol XYZ (placeholder name, you get the picture)
By definition, if the value of jBTC also tracks the price of BTC with the use of an oracle, then it is the same in value as iBTC from Indigo.
So what is the unique feature of Indigo in this case when competition comes in? Is it our superior liquidation model, security, etc ? Hope to hear thoughts on this.
I’ve traded some synthetic assets on Terra and I also would like to know the answer to these questions. I got out of Terra a couple of weeks ago and brought all to Cardano since we are soon going to have many new Dapps .
I could be wrong but I am pretty sure you answered your own question. If all synthetic assets are the same, it would be the security, liquidation model and overall quality of the protocol that sets it apart.
It’s impossible to speculate on how Indigo will compare to a mythical synthetics protocol that doesn’t exist. If someone literally copies Indigo Protocol’s code then it’ll just be a fork like any other fork. If someone creates a new technological invention then the result can’t be predicted because the technological invention hasn’t been invented yet.
thanks for chiming in and interesting to hear how the team feels about this topic. Time will certainly tell.
@defiroose is indigo open source?
Imo, You basically answered your question with that statement. The iasset, whatever that may be, will be pegged to the original price. Also, keep in mind that the supply of indigo is already limited; which will create scarcity for the iBTC product within the protocol itself.
With the success of indigo, I’m sure the team will keep innovating after launch in any way possible, a fork will only be a fork, without a community, and I highly doubt they’ll have a marketing budget to get indigos publicity. This space requires true innovation, and indigo would of solidified its spot within the Cardano ecosystem by that point.
Sorry to those who lost on Terra, this post aged really well. Whew.