Bitcoin-based stablecoins and tokens make up the Money On Chain offering.

“Bitcoiners want to use Bitcoin,” says Manuel Ferrari.

Decentralized Finance (DeFi) applications are a predominant phenomenon in contractual networks such as Ethereum, Solana, Polkadot and many others, and not so much in Bitcoin; although this protocol is the first case of monetary and financial decentralization.

The way Bitcoin software is developed helps maintain a high level of security, but delays the arrival of tools that expand financial options in this market. However, that is starting to change and Money On Chain is one of the pioneers in the field.

Manuel Ferrari is the co-founder of Money On Chain, a decentralized financial protocol (DeFi) based on RSK, the Bitcoin side chain, which is celebrating its 2 years of launch this week.

In an interview with CriptoNoticias, “Manu” as he is called commented that when he was considering launching Money On Chain the aim was to create a product that was not as centralized and not very transparent as in other blockchain platforms. In his opinion, they were reproducing the traditional financial system, without any meaning.

“We start by creating a stablecoin that has bitcoin as collateral, that has the properties of decentralization or trust minimization, and from that goal […] we made a stablecoin, along with a bunch of other things. Today is the first decentralized financial protocol on Bitcoin and bitcoiner on RSK ”.

Manuel Ferrari, co-founder of Money On Chain

BPro: token to protect DoC from volatility

The volatility of the price of bitcoin (BTC) is a risk factor for investors, and if it is planned to use this currency as collateral for Dollar on Chain (DoC), the stable currency of Money On Chain, a solution must be created for this. risk.

BPro is the name of the token that Money On Chain issued to absorb bitcoin’s volatility when its price fluctuates. According to Ferrari, Money On Chain’s various lending, leverage and governance operations allow BPro to be more expensive than BTC today and to be one of the most demanded products on the platform.

The BPro token absorbs bitcoin’s volatility in the Money on Chain ecosystem. Source: MoneyOnChain

The MoC token was issued in April of this year and also functions as a governance token. Ferrari says security is a priority for Money On Chain and that they also want to make MoC a governance token in the right way.

“The last to launch will be our decentralized governance. We always insist on minimizing trust, as eventually you will have to trust those who have the MoC token, and it will not harm the protocol. The same is complex. For example, if the money that was in the protocol was greater than the value of the MoC token, those who put the protocol liquidity that is in BPro, can veto, then there are a lot of things to consider in terms of security and decentralization ”.

Manuel Ferrari, co-founder of Money On Chain

Ferrari ended the interview by explaining that Money on Chain is also a collaborative community, which has a wiki section for free collaboration, as well as a forum and a Telegram group where proposals can be made.

Likewise, he explains that the Money On Chain protocol is designed for developers to create user interfaces on which to offer other services and make money with them. For this reason, even other applications should integrate it into their range of services.

Enjoy the full interview with Manuel Ferrari, co-founder of Money On Chain on the CriptoNoticias YouTube channel.