Stable currency products are emerging one after another, will USDD be the final winner?
The crypto market has always been volatile, and stablecoins, as a cryptocurrency that maintains a stable market price, play an extremely important role and have contributed to the creation of a new financial system. At present, there are endless stablecoins on the market, each with its own characteristics, but the risks should not be underestimated.
secondary title
What kind of stable currency is USDD?
The core mission of USDD is to provide a decentralized and stable cryptocurrency for the blockchain world. The circulation and use of USDD is not subject to any centralized organization, and it is entirely the user's own assets. No organization or individual has the ability to freeze the user's USDD, realizing complete and complete decentralization.
secondary title
How does the currency price of USDD remain stable?
The stability of USDD's currency value mainly depends on the reserve assets of the Federal Reserve Bank of Waves, and at the same time, the Federal Reserve Bank of Waves adopts a series of monetary policies such as interest rate setting, open market operations, window guidance, and mutual casting and destruction of TRX and USDD according to market conditions. And at this stage, people other than the whitelist institutions identified by the Federal Reserve Bank cannot burn and mint USDD worth less than $1 into TRX worth $1 for selling arbitrage, so there is no need to worry about a death spiral like UST.
In addition, USDD is a decentralized issuance, and there is no centralized institution that undertakes the obligation to exchange physical USD currency. Its currency price is allowed to fluctuate within a certain safety range (such as ±3%). Floating does not mean decoupling , It does not mean that measures should be taken immediately to reverse the hook. If the price of USDD fluctuates greatly beyond the reasonable range, the Federal Reserve will adopt a series of strong monetary policies to maintain the stability of USDD currency value.
image description
Data source: CoinMarketCap
In the face of many doubts, the Federal Reserve Bank of Waves also released a long article on social media, "Five Questions about USDD-The Federal Reserve Bank of Waves Responds to Current Market Concerns". Detailed answers to questions such as how to correctly understand the stability of USDD, what kind of users are suitable for holding USDD, why USDD has fluctuated recently, what monetary policies the Federal Reserve Bank of Waves will adopt to maintain USDD stability, and the guiding ideology of the Federal Reserve Bank's monetary policy. And use practical actions to turn the tide and maintain the stability and security of USDD.
secondary title
Ultra-high APY rewards trigger USDD mining boom
USDD has been widely used on many mainstream networks such as TRON, BNB Chain, Ethereum, and Arbitrum, and has been launched on many top exchanges, leading DeFi, and popular cross-chain protocols, such as SUN.io, Uniswap, PancakeSwap, Curve, Poloniex , Huobi, KuCoin, since USDD is still in the early promotion bonus period, the platforms all provide good rewards, and USDD has set off a wave of stablecoin mining with its ultra-high APY.
In the current market with a strong bear market atmosphere, stable income is needed to hedge risks. Last week, JustLend changed the deposit mining reward from the original JST to USDD, which can not only effectively reduce the risk of market fluctuations, protect the interests of users, but also help users Easily realize cross-chain assets to meet the diverse needs of users.
There is also the SUN platform, which has launched a new upgraded smart mining pool, which not only upgrades all mining rewards to USDD, but also adds two pledge schemes of "current" and "regular". The longer the user locks in, the more income, Users who hold veSUN can obtain a maximum acceleration of 37.5 times.
secondary title
USDD strongly empowers TRON ecology
The development of USDD has also contributed to the rapid increase in the market value of TRON's stablecoin. According to DefiLlama data, the market value of TRON's stablecoin has reached 35.17 billion US dollars, ranking second among all public-chain stablecoins, second only to Ethereum.
The total value locked (TVL) of the TRON protocol is as high as 5.88 billion US dollars, which has jumped to the third place in the world. Clearly, USDD has played an important role in the growth of the value locked in DeFi protocols on the TRON network.
After four years of development, the number of TRON users has exceeded 104 million. With a strong transfer system, it has become the busiest network in the world. The overall scale of stablecoins and financial assets on the chain exceeds 47.9 billion US dollars. Empowered by TRON's huge ecology, user base, and rich application scenarios, USDD has its own halo, showing strong vitality, and continues to feed back the development of TRON's ecology.
Source of the article: Baba Baba Bajie
Source of the article: Baba Baba Bajie
