- Summary:
- Nuon Protocol has developed a flatcoin tethered to inflation index and designed to preserve value and cushion holders against inflation.
Nuon Protocol has today announced the launch of its mainnet for the NUON flatcoin, which is the first cryptocurrency in the world to track an objective cost of living index. Nuon will launch on top of Arbitrum, a popular Ethereum scaling platform. The developers of the overcollateralised and decentralised crypto, NUON, and backers of inflation-proof flatcoins believe they have found the answer to the problem of currency depreciation over time.
Nuon’s attempt at beating inflation using a coin
If you hold $NUON, you can be assured that your purchasing power will never decrease due to inflation because the coin is tethered to an impartial cost of living index. The main goal of the Nuon Protocol is to create a currency that is immune to inflation by making it independent of national currencies that are controlled by central banks.
The $NUON coin monetary system is built on the premise of a flatcoin, and its value is pegged to either an impartial inflation index or an independent gauge of the cost of living. Also, the risks of concentration and unfavourable government regulation are diminished when a currency is unanchored from a single fiat asset. A Nuon flatcoin’s worth is calculated daily using inflation statistics that can be verified without outside influence.
Nuon Liquid Protocol (NLP), Dynamic NFTs and automated security liquidity pools are two of the most innovative aspects of the Nuon Protocol. In addition, the protocol says it gets audited by CoinFabrik and runs on proof of reserve technology developed by Chainlink-both of which are accessible in real-time. The Nuon network is integrated with the Chainlink BUILD Platform.
Many investors have preferred stablecoins for a long time because of their ability to cushion against the volatility of the crypto market. However, stablecoins are still susceptible to inflation and other related economic shocks because they are pegged to regulated assets like gold and fiat currencies. Furthermore, the collapse of the algorithmic stablecoin LUNA in 2022 demonstrates that stablecoins are not as stable as they are meant to be. Thus, inflation-linked flatcoins might be a viable alternative.