DUSD (Dark Dollar) is a stablecoin targeting a $1 peg. Its backing is split between collateral assets such as USDC, USDT, and DAI, and algorithmic support via DARK and NESS. The mix between these two components is tracked by a Collateral Ratio (CR), which varies based on the market price of DUSD.

At launch, the CR starts at 90% and the protocol updates the collateral ratio once per hour in increments of 0.25%. If DUSD trades at or above $1-reflecting strong market demand-the system moves into a de-collateralize mode by lowering the CR down to a minimum of 70%. If DUSD falls below $1, the protocol raises the CR up to a maximum of 95%.

DarkNess Dollar aims to be the first stablecoin protocol on the Cronos chain that combines the design principles of both Entirely Collateralized and Purely Algorithmic Stablecoins. The goal is to build an on-chain currency that is highly scalable, reliable, and extremely stable while remaining ideologically aligned.