Stabilitas halted in 2023; its testnet oracle still posted rates in August 2026

A stablecoin idea that stopped at the compliance line

When Ludovit Scholtz declared Stabilitas 'onhold' in July 2023, the project's public face — a single-page site built from a template, with a whitepaper button that leads nowhere — suggested a hackathon experiment quietly shelved. The on-chain record tells a different story: the smart contracts that framework deployed to Algorand's testnet kept running, unattended, for more than three years after the pause was announced.

Scholtz, the Slovak developer behind the Biatec¹ family of Algorand projects — which includes the open-source A-Wallet² and the VoteCoin voting system — had argued on the Algorand forum³ in February 2023 that the ecosystem had a stablecoin gap. It had dollar and euro coins, he wrote, but he wanted to see 'also CHF stable coins, CZK stable coins, INR stable coins and more,' coins that e-shops could actually accept. That argument became Stabilitas⁴: a framework designed to let one set of smart contracts mint a fiat-pegged token for almost any national currency.

Stablecoins are cryptocurrencies built to hold a steady value against a target such as the US dollar or euro rather than float freely. Stabilitas' aim, per its repository⁵, was a stable digital asset for purchases, remittances and storing value, achieved through 'a combination of smart contracts, algorithmic central bank-like management, and over-collateralization.' The project was assembled at Algorand's Greenhouse Hack #3¹ (which ran December 21, 2022 to February 8, 2023), where Scholtz says he submitted 'National stablecoins minting by smart contract with oracle from ECB' but 'for some reason it did not make it to top.' The domain was registered on February 5, 2023, the proof of concept was presented at the Mega Ace Hackathon in mid-April 2023, and the contracts' creation transactions confirmed on testnet — Algorand's sandbox network, where tokens carry no real value — on May 20, 2023.

The site itself still announces 'We delivered the proof of concept to issue stablecoins on Algorand using smart contracts' — and little else has changed since. The page's own title reads 'Vue JS App Landing Page Template,' and both GitHub repositories saw their last commit on April 16, 2023. Three months after deployment, Scholtz stated the project's status on the forum⁶: 'Project is onhold until the institution of electronic money is funded and approved.'

How the mint-and-redeem loop was built

The design is a deposit-and-release loop. A user deposits a base currency — on testnet, USDC — into a reserve contract, and a token contract mints the corresponding national coins at exchange rates supplied by oracles, services that feed off-chain data into the blockchain. Per the README, the smart contract 'locks USDc and releases the tokens according to the oracle prices and the state of the oracles and configuration of weights.' A holder exits by returning coins and withdrawing the base currency.

Pricing blended three sources, with weights a DAO could adjust, plus fee and circuit-breaker controls:

Source: 2 github.com

The repository's worked example shows the loop in action: at a central-bank quote of 22.102 and a VWAP of 22.536 stCZK per USDC, a deposit of 100,000 USDC³ returns 2,253,600⁴ stCZK, with about 300 USDC of fees routed automatically into the stCZK/USDC liquidity pool. Rather than building everything from scratch, the team reused Folks Finance's oracle smart contract and Pact.fi's AMM contracts, according to the site's FAQ.

The e-money wall

The reason for the hold was regulatory, not technical. Issuing a token pegged to a fiat currency in the European Union requires an electronic money institution (EMI) licence under the Markets in Crypto-Assets (MiCA) regulation, whose stablecoin provisions applied from June 2024 with full enforcement from December 2024; the repository's own mainnet checklist reduces everything to one line: 'Legal compliance.' Scholtz had flagged MiCA compliance as his broader focus weeks before announcing the hold, writing in a June 2023 thread⁷ that his main goal remained real-estate work 'with compliance of MiCA regulation.'

What never got built speaks to the same pause. The repository's testnet MVP checklist still lists web deposit, withdraw and swap interfaces as pending, along with a per-currency page and a holdings checker — the front end that would let a user actually exercise the mint-and-redeem loop. The whitepaper button noted above leads nowhere, and no token under the Stabilitas name has ever appeared on mainnet; an asset-name search returns nothing.

The gap Stabilitas identified was eventually filled by licensed players. Dutch-licensed issuer Quantoz⁸ brought its euro stablecoin EURD to Algorand in November 2023 after securing an EMI licence from the Dutch central bank, and expanded its MiCA-compliant EURQ and USDQ to the chain in April 2025. Stabilitas' contribution was demonstrating the mechanics on a public testnet first.

What the testnet ledger shows three years later

The most revealing artifact is what kept running. The deployment account — a testnet address whose transactions must be signed by two keys, a 2-of-2 multisig — spent the years after the hold doing exactly one thing: calling the ECB oracle contract roughly every hour to write fresh rate-and-timestamp pairs for the tracked currencies, at a fee of 0.001 ALGO per call. The ledger shows updates in December 2023, March and October 2024, June 2025, February 2026, and a final burst of hourly transactions on July 31–August 1, 2026, the most recent confirmed update landing at about 04:05 UTC on August 1 — with none recorded in the nineteen days since. The account still holds 84.5 testnet ALGO, enough to keep paying fees indefinitely.

Signals of caretaking, if not revival, surround the code. The Docker image⁹ the team built for the oracle in April 2023 still lists an active status on Docker Hub, whose metadata records a pull as recent as August 20, 2026 — a timestamp that automated registry scanning can also generate, so at best a weak signal. The domain's registration record was updated on August 12, 2026, with stabilitas.finance paid up through February 2027.

The rest of the stack never woke up. The token contract's on-chain state maps dozens of currency codes — USD, EUR, GBP, CZK, HUF and TRY among them — to dedicated ASAs, the standard Algorand token primitive. But the USD asset, created with a near-maximum total supply as is conventional for an unissued token, shows zero transfers after its creation: no coins were ever minted. The reserve contract and both AMM time-weighted VWAP oracles were deployed and configured, then never called again. In short, the plumbing for minting national currencies worked well enough to run unattended for three years — the business of actually issuing them never began.

Where Stabilitas stands now

Stabilitas remains what it was in May 2023: an open-source proof of concept. Scholtz has not abandoned the ecosystem — his GitHub account holds 185 public repositories, including the wallet project with 672 stars, several pushed within days of this writing, and his 2024 xGov proposals still listed Stabilitas among his active projects. There is no public indication the framework will be revived.

The honest read of the evidence is that Stabilitas was a working demonstration of a hard problem — how to price, mint and redeem fiat-pegged tokens on-chain — that stopped precisely at the line where a licence becomes mandatory, even as the code it left behind kept ticking for three more years. That the same national-stablecoin thesis later reached Algorand through a licensed issuer is a fair summary of both the project's promise and its limits.

Source (20)

• stabilitas.financeStabilitas
• github.comstabilitas-apps repository
• forum.algorand.coAlgorand forum: xGov-23 Open AMM
• forum.algorand.coAlgorand forum: Algorand's response to ERC 1400
• forum.algorand.coAlgorand forum: Foundation liquidity allocation
• forum.algorand.coAlgorand forum: ARC34 update
• quantoz.comQuantoz: EURQ and USDQ on Algorand
• hub.docker.comDocker Hub: scholtz2/stabilitas
• stabilitas.financeStabilitas - Vue JS App Landing Page Template
• forum.algorand.co
• testnet-idx.algonode.cloud
• testnet-idx.algonode.cloud
• testnet-idx.algonode.cloud
• testnet-idx.algonode.cloud
• forum.algorand.co
• testnet-idx.algonode.cloud
• testnet-idx.algonode.cloud
• forum.algorand.co
• testnet-idx.algonode.cloud
• testnet-idx.algonode.cloud