The world’s first decentralized and highly secured “flatcoin,” Nuon, has officially launched its testnet, according to blockchain development firm Laguna Labs. Flatcoin’s value is tied to the cost of living, a topic often discussed by cryptocurrency pioneers such as Brian Armstrong, Balaji S. Srinivasan, and Vitalik Buterin.
A Nuon flatcoin’s value depends on daily, unbiased, real-time on-chain inflation data, unlike most stablecoins, which are tied to falling assets like the US dollar. This means that the purchasing power of a Nuon remains unchanged from the time of purchase until it is sold, i.e. it is “flat”.
What is Nuon?
Nuon is considered the world’s first flatcoin. It is a next-generation stablecoin that protects your purchasing power from inflation-related depreciation by being indexed to the cost of living. It is an inflation-resistant currency. Nuon’s decentralized governance concept, censorship-resistant and human-controlled, drives the people’s inflation-proof economy.
What is a flat coin?
A flatcoin is a new breed of stablecoin that focuses on fighting inflation by being tied to the cost of living instead of being based on fiat-pegged assets. When inflation increases, flatcoin prices also increase.
The launch of the testnet Ju
On the protocol’s first testnet, created to allow developers and community members to participate in the growth and development of this innovative new project, participants can now test the Nuon coin mechanism.
Stefan Rust, CEO of Laguna Labs, comments on the launch of Nuon’s testnet: “Crypto has for too long relied on centralized, diminishing assets for its stablecoins. This has not represented business risk and concentration, but it is also not a true representation of people’s lives.
“Nuon, the world’s first flatcoin, offers a viable alternative to this setup and is the first cryptocurrency to solve one of modern society’s biggest problems: inflation. Nuon is the world’s first digital asset that helps people preserve their purchasing power. It is fully decentralized, censorship resistant and overlaid with security, we encourage all users to try it on our testnet because we want to know what you think about it.
Influential blockchain inventors have regularly explored the concept of a flatcoin in response to rising global inflation and the rapid decline of fiat currencies. Among them is Balaji S. Srinivasan, the former CTO of Coinbase, who has explored the flatcoin idea in several Twitter threads as a way to avoid the U.S. dollar dwindling into stable digital assets.
Buterin calls for decoupling from Fiat
Ethereum creator Vitalik Buterin said in a recent podcast that the cryptocurrency industry should prepare to move away from an over-reliance on a single asset to avoid future concentration and regulation issues. The alternative, he continued, would be to link the price to a neutral consumer price index (CPI).
Finally, Coinbase founder Brian Armstrong said the following to Tim Ferris last week:
“In my opinion, what we need in the crypto sector is a currency that is not tied to fiat. It would also be appealing to have a stablecoin, like a flatcoin, tied to purchasing power. Currently, we have USD coins backed one-to-one of the dollar and decentralized stablecoins like DAI. Today you can get a McDonald’s cheeseburger for a coin, and hopefully that will still be the case in five years.”
Laguna Labs is building a robust economy. The world’s first flatcoin whose value is linked to the cost of living, Nuon, will provide the energy for this special ecosystem. Truflation, a leading on-chain cryptographically truthful financial data aggregator, provides data to Nuon. In addition, Laguna Labs is home to the Verified Node, an ultra-fast, frictionless chain and a Web3 wallet that opens the door to a future where your wealth is secure.