Stablecoin USDZ

USDZ created to enforce MENA and CIS region economy and attach crypto value to the real world value.

The cryptocurrency industry is frequently criticized for price volatility which impedes the usage of utility tokens as a real-world currency.

Stablecoins are cryptocurrencies backed by reserve assets for everyday use. They are designed to combine features such as instant processing, security, and privacy of blockchain technology, with the stability of reserve assets or leading Fiat currencies.

USDZ is a stablecoin pegged to the US Dollar.

Zamzam is developing these stablecoins as a universal solution for payments, remittance, banking, trading, and many other business applications.


  • Price Stability: USDZ achieve its price stability via collateralization. 1 USDZ will always be worth 1 USD.

  • Instant Processing: Stablecoin transactions are processed and settled inside the ecosystem in real-time.

  • Transparency. All collateral assets backing USDZ are deposited in escrow accounts with a real-time dashboard showing the value of collateralization and circulation of each so that our stablecoin collateral value is absolutely transparent to everyone.


  • Settlement medium

  • Cross-border remittance

  • Payments

  • Easy access to Crypto Capital Markets

  • Store of value

  • Banking: lending, borrowing, investment


Initially, USDZ will be collateralized with other stablecoin BUSD. As the ecosystem develops, USD and other assets will be used as collateral in escrow accounts.

For every 1 USDZ minted, 1 BUSD will be locked in the protocol as collateral.


  1. zMorgan users deposit liquidity (BUSD or USDC) to the Ecosystem.

  2. Liquidity is locked in zMorgan pool.

  3. zMorgan Protocol mints equal value of USDZ to BUSD locked in the pool.


  1. Users make a market order to exchange USDZ with another asset.

  2. Exchange sends USDZ to zMorgan protocol.

  3. zMorgan protocol unlocks BUSD from the pool.

Stablecoin as a Service

Stablecoin as a service is a universal solution for businesses and governments to quickly and efficiently issue their own stable cryptocurrency tied to a reserve asset or Fiat.

For companies: Businesses can release their own branded digital tokens to offer incentives for their customers, build customer loyalty and encourage money to be kept within their ecosystem.

For Governments: Central Banks can issue digital currencies (CBDC) that can be used as a digital national currency. With CBDC stablecoins, citizens retain access to the safest form of money - a claim on a central bank. This could promote diversity in payment options, make cross-border payments faster and cheaper, increase financial inclusion and facilitate fiscal transfers in times of economic crisis.

Stablecoins Use Cases

The demand and use of stablecoins is growing every day worldwide. Stablecoins have a huge potential within the financial sector.

Stablecoin $USDZ issued by is involved in the following use cases:

Bridge Between Fiat Money and Cryptocurrencies (CeFi via Binance)

Through the ZamWallet application, anyone can purchase stablecoin $USDZ via a bank card. Users can buy $USDZ stablecoin by topping up their wallets with fiat currencies (EUR, USD etc.), then exchanging the fiat money for the equivalent amount of stablecoins.

The process goes as follows: The user deposits fiat currencies in the ZamWallet via the Binance CeFi platform. When the transfer is confirmed, an equivalent amount of stablecoin $USDZ is minted (created) and sent out to the user. The deposited fiat funds are converted to stablecoin BUSD. Then, they are locked and stored on Binance.

Stablecoin $USDZ is fully pegged in a 1:1 ratio to fiat currency. Each $USDZ stablecoin is equivalent to one USD.

Stablecoins are Issued in the DeFi via Smart-Contracts

Any user can also buy stablecoin $USDZ with stablecoins USDC or BUSD.

After confirming that USDC or BUSD stablecoins have been deposited, a smart contract mints (creates) and allocates an equivalent amount of stablecoins to the user. Deposited USDC is converted to BUSD, and BUSD is locked by a Zamzam smart contract.

If a user wants to retrieve the deposited USDC or BUSD, he transfers $USDZ to a smart contract. The smart contract automatically destroys/burns the $USDZ stablecoins and removes them from circulation. The smart contract then transfers an equivalent amount of BUSD from the storage back to the user (converting BUSD to USDC if necessary).


Since stablecoins are pegged by fiat currencies, they are characterized by price stability compared to other cryptocurrencies. In a highly volatile cryptocurrency market, stablecoins help traders preserve the value of their assets without the need to exchange their holdings for fiat money.

Stablecoin $USDZ could be exchanged for other cryptocurrencies within the Zamzam ecosystem or on other cryptocurrency exchanges.

According to CoinMarketCap, on September 3rd, 2021, the market cap of all stablecoins was estimated at $121 billion. For the 24 hours that preceded, the trading volume of stablecoins was around $104 billion, whereas the trading volume of all cryptocurrencies was estimated at $142 billion. This means that about 73% of all crypto trading transactions were made via stablecoins.

Payment and Remittances Instrument

Crypto payments and transfers do not involve intermediaries such as banks or other payment systems. Therefore, users can perform unlimited transactions and remittance payments more easily, cheaper, and much faster.

The number of companies that allow customers to pay with crypto for goods and services has been increasing worldwide. According to a 2020 HSB survey, in the US, 36% of the small and medium-sized companies accepted payment by cryptocurrency.

Since digital currencies can be transferred all over the world faster and at lower costs, crypto transfers and remittances can be more favorable to individual users and businesses. However, if transactions and remittances are made in volatile cryptocurrencies (such as Bitcoin, Ethereum etc.) and the value of the said crypto declines, the transaction could lose some of its value. By making payments and remittances in stablecoins, users can avoid this risk and confidently make transactions knowing that the recipient will receive the amount they intended to send.

Within the Zamzam ecosystem, users can make transfers and pay for Zamzam services (including the zMorgan interest) in stablecoin $USDZ.

Also with DeFi development, more online applications, stores, restaurants and other services will be accepting crypto payments, especially stablecoins.


According to the World Bank Group’s latest report, 1.7 billion adults worldwide, about one-fourth of the global population, are unbanked.

As a large percentage of the global population do not have access to banking services, stablecoins could present an accessible financial solution.

According to Statista data, in 2021, 71% of the Morrocan population did not have access to bank or financial institution services. In Turkey and Russia, unbanked individuals represent 31% and 24% of the population respectively.

In countries with unstable economies and highly volatile national currencies, stablecoins also represent stable money.

Using Zamzam’s services, individuals and businesses have full access to their funds, immediate and low fee payments and remittances, and other financial services daily 24/7.

Crypto banking, in place of traditional banking systems, provides users with transparency, trust, and security while performing finance operations.

Lending (Access to Yield)

Lenders can generate returns on their stablecoin holdings (USDC or BUSD).

According to DeFi Pulse analytics, as of 6 September 2021, the total value locked in lending was $50 billion. In the past year, the total value locked in lending has experienced a 300% growth, from $12.4 billion. offers lenders who deposit their USDC or BUSD stablecoins attractive lending conditions and provides $ZAM staking holders high interest rates.

Lenders can deposit stablecoins (USDC or BUSD) and fiat money (USD, EUR etc.). Fiat money would be converted to stablecoin BUSD, then stablecoin BUSD is locked by smart-contracts.

Thus, stablecoin BUSD and fiat money (USD, EUR etc.) deposited by the lenders would provide a Liquidity Pool for $USDZ within the zMorgan Protocol.


When Lender 1 deposits $7,000 in fiat money and Lender 2 deposits €2,524 in fiat money (equivalent to about $3,000), the zMorgan Protocol exchanges the fiat money, converts them to 10,000 BUSD stablecoin, and then locks these stablecoins forming a Liquidity Pool.

Subsequently, when a Borrower exchanges a loan received in $USDZ stablecoins for crypto or fiat money, liquidity on the free market would be required.

Borrowing (Access to the Capital in Stablecoins) presents investors with securities portfolios with the opportunity to exploit their value without selling them.

A Borrower can receive a $USDZ stablecoin loan by pledging his securities portfolio as collateral.

When a Borrower deposits a securities portfolio collateral, the zMorgan Protocol locks the collateral and mints a suitable amount of $USDZ stablecoin that represent 50% of the deposited securities’ value. The Borrower receives these stablecoins as a loan. Then, thanks to the locked Liquidity Pool, the Borrower can exchange the received $USDZ for fiat money or crypto.


When the Borrower deposits a $20,000 collateral, he/she receives a loan of 10,000 USDZ (equivalent to $10,000). The Borrower can exchange these 10,000 USDZ for $10,000 or for other cryptocurrencies through ZamEx using the Liquidity Pool.

Conversion of Securities Portfolio to Stablecoins

If the value of a pledged securities goes below a certain threshold, a Borrower has to pay back part of the loan in $USDZ or deposit more securities portfolio as a collateral.

Our goal is to help borrowers avoid liquidation in a falling market. We offer borrowers the opportunity to manually or automatically convert their securities portfolios to stablecoins (USDC or BUSD) either partially or fully. In this case, a Borrower does not need to deposit extra collateral or pay back part of the loan.


For instance, at the moment of a loan issuance a securities collateral is valued at $10,000. If a securities market experiences a constant price decline, a Borrower can convert the collateral to stablecoin BUSD any time or set up an automatic conversion to stablecoin BUSD. For example, when the securities’ collateral value reaches 65% of its initial value at loan issuance, $6,500, the borrower can choose to convert them to BUSD. If the collateral value continues to decline and drops to $5,500 (the liquidation value), the Borrower’s funds will not be liquidated.

The conversion to BUSD helps borrowers in setting up LTV (Loan-to-value) at a certain permissible level, thereby preventing losses and liquidations and enabling them to have more time to make more strategic decisions in a falling stock market.

Last updated