Economist Hayek wrote in The De-stateization of Money: "I believe that human beings can do better than gold in history. Free enterprise, such as institutions that stand out from the competition, can undoubtedly offer a good currency, and there is no doubt that it will. ”
The history and development of Bitcoin, cryptocurrencies, and blockchain is full of Hayek's vision and vision. The rout of Luna and UST is indeed lamentable, but an end means a new beginning. With a strong enough consensus algorithm stablecoin, a new era of blockchain development will surely emerge and come.
Looking at the market, sun Yuchen recently brought the tron algorithm stable coin USDD is very promising to break the game. Once USDD was launched, mining, exchanges, cross-chain protocols were launched, and even the TRON joint reserves supported by USDD have increased their holdings by nearly $560 million in BTC, TRX and USDT. With a full set of punches, USDD has given the market that has lost confidence to see hope again, and the future of stablecoins is once again visible to the naked eye. Looking at the many ecological progress of the tron this month, I have to marvel that as an old public chain, the vitality and ecological forging ability of the tron are indeed second to none.
USDD ushered in a new era of stablecoin development
From AMPL, YAM to ESD, Basis, and then to the just-concluded UST, it can be said that the development has not been very smooth. Algorithmic mechanisms, arbitrage models, regulatory issues, risk avoidance of leverage, whether there are enough reserves, etc., are all issues that a qualified entrant needs to consider comprehensively.
"The crypto industry is evolving and algorithmic stablecoins must exist. I think we just need more complex and well-planned structures. Sun Yuchen said in a recent interview with CoinDesk.
Obviously, Sun Ge has been considering the algorithm stablecoin for a long time, and through the "double fist attack" of USDD and the Bouquet, a new era of stablecoin has quietly opened.
According to public information, USDD (Decentralized USD) is a decentralized algorithm stablecoin initiated by Tron Joint Reserve and blockchain mainstream institutions. USDD runs on the tron network and accesses Ethereum and Binance Chain through the BTTC cross-chain protocol, and will be connected to more blockchains in the future. USDD uses TTRX to peggle to the Us Dollar (USD) and keep its price stable to ensure that users can use a stable, decentralized, and financially free system of digital dollars.
As of May 18, usdd issuance exceeded $310 million, corresponding to more than 3.9 billion TRX destroyed.
As a new project, since it was officially launched on May 5, the development speed of USDD can be summed up in two words.
Up to now, USDD has launched Huobi, KuCoin, P.com, SunSwap, SUN.io, JustLend, PancakeSwap, Ellipsis Finance, Uniswap, Curve, KyberSwap and other platforms, and opened liquidity mining on most platforms, mining revenue and TVL data are quite good. In addition, USDD also landed on the cross-link protocol Multitichain, which allows you to freely implement USDD cross-chains in BitTorrent Chain (BTTC), Ethereum, Fantom and Avalanche.
▶️ The above are the mining pools and TVL of most of the mainstream DeFi platforms currently launched by USDD, and the income and liquidity are very impressive (Image: from the network)
USDD can be said to have covered the top-stream exchanges, tron, Ethereum, Binance Chain network head DeFi, as well as popular cross-chain protocols. Once online, exchange, mining, trading, the scene has been quite complete. USDD comes with its own aura under the illumination of Sun Yuchen and Tron.
In terms of welfare, Sun Ge's "trench" atmosphere is still the same. At the beginning of the establishment of the Poland Fed, the basic risk-free interest rate of USDD was set at 30%, which can be said to have invested heavily. In the above part of the platform, the yield of USDD-related LP mining pools is also very impressive. For example, on May 12, Curve officially launched the USDD/3CRV LP mining pool, and the APR was as high as 30.87%-77.175%.
It turns out that Brother Sun's consistent strategy of "early birds have worms to eat" is right. At the time when Luna triggered industry shocks and the market went down, with the setting of the RISK-free interest rate of 30% on the BASISD base and the huge development of USDD, TRX and USDD fluctuated very little under extreme markets, and TRX even walked out of the independent market many times.
And the people who participated in USDD mining in the first place obviously gained a lot. This move, in addition to allowing USDD to "drain" heavy gold, will also fully guarantee the supply and liquidity of USDD after it is launched. This small closed loop is believed to make USDD's future path healthier and more stable.
Double-insured wave fed
Unlike the "cancer" gene that laid the "cancer" gene for the demise of THE UST, Luna set the Anchor high interest rate, USDD In addition to liquidity, incentive protection, the existence of the Fed can be called a necessary link, double insurance.
According to Sun Ge's open letter and related reports, at the beginning of the establishment of the Tron Joint Reserve, the $10 billion of highly liquid assets raised by the promoters of the custody blockchain industry will be used as an early reserve, and all reserves will enter the Tron Joint Reserve in the next 6-12 months.
The Fed aims to maintain the management of USDD authority and guarantee the exchange rate stability of USDD and the decentralization of USDD with reserve financial assets.
In just a few days, the world's top investment and mainstream trading institutions, Alameda Research, Amber Group, P-net Poloniex, Ankr, Mirana, Multichain have successively become members and whitelist institutions of Tron United Reserve. Obtained the casting rights of USDD.
At the same time, the Bo Fed maintains market stability and confidence by continuously increasing its reserves, and protects the entire blockchain industry and the crypto market. According to statistics, as of May 18, the reserve value of the Reserve Bank of Poland has reached nearly 560 million US dollars.
In the CoinDesk interview, there was a question about how the $10 billion reserve plan would be split up. Brother Sun said that I think half of them will invest in stablecoins. The main investment is USDT and USDC, about $2 billion each. We also hold other stablecoins such as BUSD, DAI, and TUSD – totaling about $1 billion. The rest is mainly Bitcoin and TRX.
Obviously, the Fed will continue to play a greater role.
Driven by USDD, the on-chain data of the Tron blockchain, the stable coin ecology and the entire tron ecology, coupled with the official opening of the second season of the 2022 Tron Hackathon Competition, most of the hot spots in May were contracted by Tron and Sun Ge.
TRX rankings rose, tron chain data soared,
The tron forms a strong pattern of five stablecoins
The impact of USDD on the tron ecology can be seen from the data.
A few days after USDD went live, according to CoinMarketCap data, TRX became the only cryptocurrency in the world's top fifty cryptocurrencies to achieve positive growth in the past week, becoming the strongest force against the market downturn. The market capitalization ranking rose from around 20 to 13th in the world. At present, it is stable at about 14.
In addition, the rapid growth of data on the tron chain can also indirectly see further positive stimuli of USDD.
According to blockchain browser TRONSCAN data, on May 12, the total number of TRON accounts exceeded 92 million. Five days later, on May 16, the total number of TRON accounts exceeded 93 million, 1 million in 5 days, an increase of 200,000 per day.
On May 8, the total value of assets on the Tron chain exceeded US$58.5 billion; on May 12, the single-day transfer amount of Tron stablecoin exceeded US$53 billion.
Speaking of the tron stablecoin ecosystem, Tron has now built a perfect stablecoin ecosystem composed of USDT, USDJ, TUSD, USDC, and USDD.
In addition to the tron version of USDT circulation exceeded $42.7 billion a few days ago, the tron version of USDC has also recently developed rapidly. Driven by the Reserves of the Reserve Bank's stable market, the issuance of USDC on TRON has also increased significantly, with a total supply of more than $2 billion as of May 18, and Tron Network has become the third largest network in USDC.
Sitting on the strong ecology of the five major stablecoins, Tron may already be the world's largest stablecoin system.
Benchmark DAO's brilliant move: the 2022 Tron Hackathon Contest is making a strong comeback
A few days ago, the world's leading commercial media Forbes posted that Tron TRON has now become the world's largest DAO. As a model of the industry benchmark DAO, Tron is continuously contributing to the industry through various ecological construction.
For example, the large-scale hackathon competition held from time to time will output many diversified and rich creative projects for Tron and the industry.
On May 16, the second season of the 2022 Tron Hackathon Contest officially opened. The second season of the competition set up a total prize pool of 1 million US dollars, divided into DeFi, GameFi, NFT, Web3 four major tracks, providing a stage for blockchain developers, product managers, and designers to show their skills.
At the same time, the submission of the competition project has also been opened, and the submission period is from May 16 to July 25. It is worth noting that this competition is also open to tron and existing projects on the BTTC chain that have major updates during the competition. It is reported that the event is a long-term funding event, held every three months, aiming to promote the prosperity of the Tron and BTTC ecology.
Returning to the UST mentioned at the beginning, it is worth noting that the "Terra Fund should give priority to compensating small UST holders" is causing heated discussion on Twitter. Brother Sun, V Shen and Zhao Changpeng have all expressed their support. And Brother Sun is indeed the fastest.
A day after Sun Ge expressed support, official sources showed that TRON DAO had funded a $10 million incentive fund to support Terra developers in migrating to the Tron ecosystem including the Tron network and BTTC. This incentive program will help Terra developers get out of trouble, get back to life, and continue to innovate as soon as possible.
The greater the ability, the greater the responsibility. I sincerely hope that the USDD brought by Sun Ge and Tron can bring a clear future to Suanzhou and bring a new era of blockchain development in the industry.