Yes there are actually 2 FAQ pages created by the COTI team.

First one is a blog post = https://cotinetwork.medium.com/djed-frequently-asked-questions-f636735be76

Second one is on the official DJED site = https://djed.xyz/help

USDC = Stable coin created by Coinbase and Circle and is backed by massive VC companies (BlackRock etc) - it's pegged to the US Dollar and is also reserve backed 1:1 to the dollar using real USD. It's super stable and the companies involved could easily cover retail investor losses if anything bad happened.

BUSD = stable coin created by Binance and Paxos , like USDC above it's also pegged to the dollar and is reserve backed 1:1 to the dollar using real USD. Also very stable.

NOTE: The above 2 coins say they have massive 1:1 reserves of USD but no one can check this and just like Tether they could be lying about actually how much in reserve they actually have , or what is backing those reserves. You just have to trust the companies.

DJED = Over collateralized stable coin created by Cardano , COTI and ERGO , This is different as it's an over collateralized algorithmic stable coin. It's pegged to the US dollar like the above 2, but unlike the above 2 it's backed by a reserve at a higher ratio than 1:1

Djed has a reserve coin called Shen ,

So you can either be a user who is a reserve provider, by depositing your ADA tokens and minting Shen

or you can be a Djed stable-coin users, which is a person who buys(mints) or sells (burns) the Djed stable-coin.

Or both 😊

Djed uses an algorithm to work out when to mint or burn Shen coins and Djed to ensure that Djed is able to keep it's peg to a target price of $1.

Djed has a minimum reserve ratio of 400% and prevents users from minting new Djed or burning their Shen, if the reserve level falls the minimum.

The reserve also has a maximum reserve ratio of 800% and when this is hit it will prevent Shen users minting new Shen to ensure that Shen holders rewards are not diluted too far.

Note: that the reserve ratio can fall below the minimum or rise above the maximum due to price fluctuations in the backed asset which is ADA, however, as Djed is over collateralized by the reserve minimum ratio the peg should still hold, even in times of extreme volatility.

Note that Djed users can always cash in their Djed (burn) at anytime no matter what the reserve ratio is and still get $1 equivalent back in ADA.

Earlier I mentioned that Djed is pegged to the US dollar , however we all know that inflation in the US is currently 7%.

As Djed is an algorithmic stable coin it would be trivial to counter inflation by pegging Djed to a weekly grocery shop or the price of fuel, average rent or anything else which would give a real cost of living value.

this would give users a real stable coin which counters inflation, as opposed to using the US dollar which is being devalued every time the printer goes brrrrrrr.

Other stable coins can't really do this as they have to be backed 1:1 with another physical asset (USD), while Djed/Shen can algorithmically peg to anything and the reserve is where the backing is which as we said earlier should ideally hover between 400 and 800 percent.

Alex invests in Crypto and lives in a country where at the end of the year he pays 30% on every tx made.

He spends $100K buying ADA for $1 a coin in May and by Sept ADA has 10X to $10 per coin and his $100K is now worth $1Mil, (Alex is very happy)

In September He decides to withdraw his gains from the exchange and move it all to LUNA on a ledger as he doesn't trust exchanges (not your keys, not your coins etc) so when the time comes he can pay back the tax man in April following year (he'll owe $300K)

Alex is still happy

In January, TERRA which is LUNA's stable-coin de-pegged and starts a death spiral between TERRA/LUNA and now each LUNA is now worth $0.0005 and his $1M is now worth $50

ADA which had jumped up to $10 also drops to $0.50

Alex is sad because by selling his ADA last year he created a taxable event, The IRS sees 2 transactions which are him buying $100K of ADA and and him taking profit at $1Milion

Come tax time poor Alex still owes the tax man $300K and will have to declare bankruptcy.

Alex is super sad

Same example as above but in September Alex decides to move all his money to Djed

Everything happens the same.

In January Alex still has $1M worth of ADA and if he cashed out (Djed Burn) he would get back 2M ADA.

Alex can pay the tax man as 2M ADA is worth $1M

Alex is a happy bunny

Also think about loans to developing countries using DjedUSD, etc , etc