# Bitcoin Native Stablecoin

We firmly believe that the world's most reliable stablecoin should be operated and scaled on Bitcoin itself, embodying its core design principles to ensure complete resistance to censorship. Palladium is a decentralized protocol that empowers Bitcoin holders to issue stablecoins against their collateral without any interest payments.

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**Over-Collateralized with Bitcoin**

Palladium achieves stability through a two-tiered over-collateralization system. Each stablecoin minting position is required to have a Minimum Collateral Ratio (MCR), while the entire system maintains a buffer with an overall collateralization ratio of Criticial Collateral Ratio (CCR). This approach effectively mitigates insolvency risks and safeguards the value of Palladium's stablecoin well above its pegged point.

**Built on the Bitcoin Network**

Palladium not only inherits the robustness of Bitcoin as an asset but also utilizes the secure infrastructure of the Bitcoin Network. By operating on top of Botanix, a truly decentralized Layer-2 network, Palladium extends smart contract functionality to the Bitcoin ecosystem while maintaining the decentralization and security foundations of the Layer-1 blockchain.

**Governance-Free, Inspired by Bitcoin**

Unlike many smart contract platforms, Palladium does not rely on governance mechanisms to make decisions regarding monetary interventions. All protocol parameters are either preset and immutable or algorithmically controlled by the protocol itself, rendering governance redundant. This ensures that no one can gain control over the protocol or manipulate it at any point in time.


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