StableCoin

This article discusses the development and current status of stablecoins in the cryptocurrency industry. The problems in the traditional financial system have driven the rise of stablecoins, especially those supported by fiat currency or algorithms, such as USDT, USDC, and the emerging USD0. Stablecoins not only surpass Bitcoin in payment properties but have also become a profitable business, with the issuer of USDT showing significant profits. The article introduces Usual Labs as an emerging stablecoin startup that has launched the RWA-backed stablecoin USD0. The USD0 is 1:1 supported by ultra-short-term real-world assets (RWA). When users deposit assets, they receive Liquid Deposit Tokens (LDT), which represent the initial value of the deposit and can be traded freely. The article also explores its technical operations and the distribution of governance tokens, emphasizing its positioning and potential in market competition.

Alloy by Tether combines the stability of the US dollar with the security of gold, offering a reliable digital currency for daily use and asset management. The platform introduces "Tethered Assets," supporting single or multiple types of collateral. It tracks reference asset prices through strategies like over-collateralization of liquid assets and secondary market liquidity pools, ensuring consistent value and stability.

As a global payment leader, PayPal has over twenty years of global payment experience. Cryptocurrency and blockchain technology bring us closer to the fast, inexpensive, and international payment ideals. This new generation of financial/payment infrastructure can help PayPal better serve its 40 million users, enabling everyone to pay as they wish. The creation of PayPal USD aims to provide a fast, simple, and inexpensive payment method for the next development phase of the digital economy, once again revolutionizing commerce. Offering PYUSD on the Solana blockchain further advances our goal of creating a stable-value digital currency specifically designed for commerce and payments.

The problem with the traditional financial system is that customer deposit profits flow into the banks' pockets while the risks are transferred to the public. Usual chooses RWA support in the fiat-backed and algorithm-backed stablecoin race to redesign the stablecoin USD0. Considerations include choosing government bonds as the best option due to their high liquidity and safety. To ensure asset stability, the issuer must use short-term assets to collateralize the stablecoin, providing holders with a high level of security. This strategy prevents forced liquidation at a discount during mass redemptions and guards against volatility events that could reduce collateral value.

This article discusses the application and potential of cryptocurrency payments, particularly stablecoins, in the global payment system. It compares their advantages and disadvantages with traditional payments and mentions that the use of stablecoins is rapidly increasing, with their transaction volumes significantly surpassing those of traditional payment platforms like PayPal.

Stablecoins are becoming an important component of the global financial system, facilitating transactions and serving as a store of value. Their adoption patterns are influenced by blockchain transaction fees, highlighting their practicality in cross-border payments and DeFi applications. As stablecoins continue to develop, their significance in the global financial sector will continue to grow.

Interest-paying stablecoins are one of the most sought-after yet under-developed segments in the crypto market. This article delves into various new yield-bearing stablecoins, providing a comparative analysis of their mechanisms, features, and adoption.

Ethena Labs' USDe stablecoin offers a new solution to the decentralization, stability, and scalability issues faced by traditional stablecoins through its unique design. This article will explore Ethena's features, compare it with traditional stablecoins, and discuss yield strategies, risks, and control measures.

QCAD is a stablecoin issued by Canada Stablecorp, a joint venture between 3iQ and Mavennet Systems. QCAD aims to provide a stable digital Canadian dollar solution, maintaining a 1:1 CAD value ratio through cash and equivalent reserves. It is used for payments, trading, lending, and as an on-chain forex solution and rapid transfer channel. Tetra Trust Company holds QCAD’s fiat reserves, ensuring its stability and compliance. Coinbase Assets announced adding QCAD to its listing roadmap, boosting its market position and application prospects.

MakerDAO has launched PureDai, a new stablecoin designed to be fully decentralized. PureDai’s key features include a floating target price, decentralized high-quality collateral, highly decentralized oracles, minimal governance, permanent positioning on the Ethereum mainnet, and simple token economics. PureDai is not guaranteed to be pegged to the U.S. dollar, but instead uses a free-floating peg that may introduce negative target interest rates in response to high demand. PureDai will also have its own governance token, with an initial supply of 2 billion, distributed through NewStable mining, used to subsidize the generation of PureDai and act as a backstop in the event of bad debt

The new stablecoin project USDe has quickly emerged in the stablecoin market, increasing its total supply from zero to over $2.3 billion in just two months. Its high yield features have garnered significant attention.

This article provides detailed explanations and analyses regarding whether USDe has addressed the three major challenges of stablecoins, namely scalability, decentralization, and stability. It emphasizes the problems USDe aims to solve and how it intends to address them. By offering a decentralized stablecoin solution, USDe aims to achieve transparency, resist censorship, and attain independence from traditional financial systems.

According to Ethena Labs, "Ethena is a synthetic dollar protocol on Ethereum which aims to provide the first censorship resistant, scalable, onchain form of money: USDe". Ethena is the protocol in which the stablecoin USDe lives.

Fonbnk’s tokenization of airtime minutes and integration with mobile money services present an innovative model with the potential to expand financial services to underbanked populations in African markets.

Liquity is a decentralized lending protocol that allows users to borrow a stablecoin called LUSD (pegged to the US dollar) using Ethereum as collateral. It also introduces a fully redeemable stablecoin, LQTY. The protocol, designed by Robert Lauko, aims to offer a more capital-efficient and lower-risk alternative to existing systems like MakerDAO.