ATOM holders can now mint stablecoin IST

Inter Protocol is launching its IST minting application on the Agoric chain

article-image

Satheesh Sankaran/Shutterstock modified by Blockworks

share

Agoric, a blockchain network built on Cosmos, aims to empower developers in building DeFi applications using JavaScript. The Inter Protocol application, operating on the network, has launched its new minting application called Vaults.

Inter Protocol is a decentralized application on Agoric. It is an application layer that is responsible for implementing the Inter Stable Token (IST), a native stablecoin on the Cosmos network. 

Dean Tribble, CEO of Agoric, noted in a press release reviewed by Blockworks that Vaults will offer an alternative way to mint stablecoins “setting decentralized tokens apart from their fiat-backed equivalents.”

“Fully functioning Vault systems allows crypto collateral holders to leverage their assets and fulfill their demand for IST, which in turn contributes to the Agoric economy through fees,” Tribble said.

IST itself is similar to Maker DAO’s DAI — a decentralized stablecoin pegged to the US dollar. 

Blockworks Research analyst David Rodriguez said IST has the opportunity to become a premier decentralized stablecoin in the Cosmos ecosystem. 

“With the ability to mint IST using ATOM collateral, it reinforces the idea of ATOM as the reserve currency of the Interchain,” Rodriguez said.

With their initial application, the Parity Stability module, users could deposit price-stable assets such as USDC, USDT and DAI and mint IST at a 1-to-1 ratio. With Vaults, users are now able to mint IST with the ATOM token.

These assets will be used as collateral for IST, and users will be able to reclaim their deposits at any time in exchange for their minted IST. 

Vaults is currently overseen by a committee elected by the Agoric community. This committee is responsible for evaluating and approving new collateral and ensuring that IST remains pegged to the dollar. 

On top of the committee, IST also has its own liquidation system and oracle build.

IST’s decentralized oracle network consists of five experienced chainlink node operators and is managed by Simply Staking. Liquidation is triggered when the Vault’s collateral-to-debt ratio dips below the protocol’s preset safeguard.

Zaki Manian, the director of the Decentralized Cooperation Foundation (DCF), said these new components will continue to improve the scalability of IST. 

“The liquidation system and price oracle build on the foundations established with the Economic Committee and PSM operations,” Manian said.

Updated June 28, 2023 at 6:50 pm ET: Added information about the Parity Stability module.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Research Report Templates (2).png

Research

We’re bullish on the PUMP token. We believe Pump.fun's brand strength, existing integrations, product roadmap, and strategic levers justify PUMP's TGE valuation, and expect the token to re-rate meaningfully higher in the months ahead.

article-image

Big blockers wasted a bitcoin fortune trying to prove a point

article-image

Coinbase’s newest acquisition includes the CEO and Head of Research from Opyn

article-image

Crypto’s highest purpose might be to make markets better by making them bigger

article-image

The non-profit’s “Project Open” seeks to let stocks trade directly on Solana

article-image

The acquisition is Pump.fun’s first, and comes just days before its planned ICO

article-image

As Trump’s tariff war reignites, everyone is assuming the dollar will continue its path lower. But the journey might be bumpy