Acala is a specialized stablecoin and liquidity blockchain that is decentralized, cross-chain by design, and future-proof with forkless upgradability. Acala stablecoin protocol uses multi-collateral-backing mechanism to create a stablecoin soft-pegged to the US Dollar. The Acala stablecoin protocol is essentially a decentralized monetary reserve that creates a stable currency from a basket of reserve assets, where holders of the reserve assets can spend, trade, access other services without price volatility while retaining their exposure to (without selling) the reserve assets.
Acala powered by Polkadot is cross-chain by nature. The reserve assets can be Polkadot native asset (DOT and DOT-derivatives), Acala native asset (ACA), and cross-chain assets like Bitcoin (BTC) and Ether (ETH).