When JPMorgan tokenizes money market funds (MMFs) and puts them on Ethereum, you should understand: on-chain finance is entering a more dangerous and mature stage — profits are starting to be 'mainstreamed'. In the past, on-chain profits relied on project subsidies and hot money rotation; now, Wall Street is bringing the most traditional low-risk profit tools into play, directly telling you: cash must also work.
But the problem is: mainstream profits often come with thresholds and rules. You can obtain more stable underlying assets, but you may lose the most valuable things in the crypto world: composability and rapid migration. Therefore, you need a more native dollar base to support the demands of 'high frequency, composition, migration' — USDD should become the main body here.
The core of USDD 2.0 is not about seizing the base but about creating the 'on-chain dollar project': decentralized, over-collateralized, pegged 1:1, and able to be embedded in DeFi as collateral and settlement assets. It is more like an attempt at 'cash protocolization': writing stability into the collateral structure, embedding anchoring into the PSM correction path, and laying the usability across multi-chain ecosystems.
When Wall Street brings returns on-chain, the easiest mistake for DeFi players is to turn the cash layer into a gamble for the sake of chasing returns. The value of USDD lies in separating the 'cash layer' from the 'offensive layer':
Cash layer - USDD, pursuing stability, transparency, and withdrawability;
Efficiency layer - sUSDD, the possibility of participating in value accumulation, but only discussing mechanisms without guarantees (based on the current page).
You use a more stable structure to combat 'return anxiety,' rather than numbing yourself with greater risks.
JPMorgan's actions will help more funds understand on-chain, and make on-chain increasingly resemble traditional finance. But the core advantage of crypto should not be lost: composition, migration, transparency. USDD, a more native decentralized dollar base, will become more important in the era of 'mainstream returns on-chain' - because it allows you to retain the flexibility of cash while pursuing efficiency.
Disclaimer: The above content is the personal research and views of 'carving a boat to seek a sword', intended for information sharing only and does not constitute any investment or trading advice.
