In the turbulent waves of the crypto world, stablecoins act like a stabilizing anchor for investors. However, not all stablecoins can withstand the market's scrutiny. The collapse of UST in 2022 left the entire industry wary of algorithmic stablecoins. Yet, it is against this backdrop that @usddio launched USDD, redefining the reliability of stablecoins with over-collateralization and transparency. #USDD以稳见信 This slogan is by no means an empty talk but a commitment written in hard data on the blockchain.
When I first delved into the mechanics of USDD, what shocked me was not its innovative technology, but the ongoing transparency. On the official data dashboard of USDD, every collateral asset is clear and traceable. The collateralization rate for TRX-A is as high as 276.85%, TRX-B reaches 293.08%, and TRX-C even climbs to 302.31%. What do these numbers mean? Simply put, it means that even if the price of USDD's collateral assets plummets by more than 60%, the system can still ensure that every USDD has sufficient value support. This margin of safety is extremely rare in traditional finance, let alone in the highly volatile cryptocurrency market.
Let's take a look at the actual performance over the past month. From November 27, 2025, to December 12, the daily closing price of USDD fluctuated between $0.999177 and $1.000285, with a maximum deviation of only 0.13%. The significance of this number is very intuitive: whenever you trade with USDD, you can almost always exchange it at a price of 1 USD without any unexpected losses. In contrast, many so-called stablecoins experience significant decoupling during market fluctuations, while USDD has maintained near-perfect stability.
The stability behind this is due to a meticulously designed mechanism. USDD uses a CDP collateral debt position model, allowing users to collateralize assets like TRX, sTRX, and USDT to mint USDD. The system monitors the collateralization ratio in real time, and if it falls below 150%, it triggers automatic liquidation, ensuring debts are repaid promptly through Dutch auctions. More importantly, USDD has also deployed a PSM stablecoin exchange module, allowing for zero slippage 1:1 exchanges between USDD and USDT, USDC. The PSM reserves on the TRON network amount to as much as $124 million, and similarly exceed $124 million on Ethereum. These reserves act as a moat for USDD, ensuring that even under extreme market conditions, users can redeem at face value at any time.
Speaking of security, CertiK's AA rating and a high score of 87.5 are enough to prove the quality of USDD's code. CertiK is one of the world's most authoritative blockchain security organizations, with a vulnerability detection rate of up to 92%. After audits by multiple institutions, including CertiK and ChainSecurity, no major security vulnerabilities were found in USDD. This means that from a technical standpoint, USDD's smart contracts are virtually flawless, making it difficult for hackers to find points of attack.
However, the value of USDD goes beyond stability and security; it is also an asset capable of generating yields. Through the Smart Allocator, USDD's reserves are deployed into top lending protocols like Aave and JustLend, generating approximately 12% annualized returns for holders. The recently launched sUSDD interest token is the vehicle for this mechanism, allowing users to automatically accumulate yields by swapping USDD for sUSDD without any additional operations. Moreover, the TVL of sUSDD surpassed $100 million within 12 hours of the launch of the Binance wallet Yield+ activity, and exceeded $150 million within 48 hours. This explosive growth fully demonstrates the market's recognition of USDD's yield model.
In terms of multi-chain deployment, USDD has already covered mainstream public chains such as TRON, Ethereum, BNB Chain, Avalanche, Arbitrum, NEAR, and BitTorrent. Notably, the native deployment on Ethereum is worth mentioning; this is not a simple cross-chain bridging but directly minting USDD on Ethereum. The benefits of this approach are faster transaction speeds, lower gas fees, and higher security. After the Ethereum deployment launched in September 2025, $8.8 million worth of USDD was minted in a short time, demonstrating the strong demand from Ethereum users for stablecoins.
In the DeFi ecosystem, USDD has been deeply integrated into mainstream DEXs like Uniswap, PancakeSwap, and SunSwap. On Uniswap, the sUSDD-USDT liquidity pool once generated an astonishing annualized return of 44.73%. Combined with a base yield of 12% and liquidity mining rewards, it provided substantial returns for LP providers. At JustLend DAO, users can mint USDD by collateralizing sTRX and then deposit USDD into the protocol to earn 5-10% lending returns. This dual yield strategy makes USDD an essential tool for DeFi players.
From the perspective of community building, @usddio's Twitter account has accumulated over 105,000 followers. The official regularly holds content creation activities, educational reward programs, and global promotional events to continuously expand USDD's influence. The latest Binance Square Creator event has set up a prize pool of 20,000 USDT to encourage users to share their experiences and investment strategies with USDD. This community-driven growth model makes USDD not just a technical product but an ecosystem supported by real users.
In payment scenarios, USDD has already integrated with payment gateways like AEON Pay and Uquid, allowing users to use USDD for everyday purchases. From online shopping to cross-border transfers, USDD provides a fast and convenient payment experience. Compared to traditional bank transfers, which often take days to settle and incur high fees, USDD's transfers are almost instantaneous and extremely low-cost. This opens up new possibilities for global payments.
Of course, no financial product is perfect, and USDD also faces some challenges. For instance, the proportion of TRX in its collateral assets is relatively high; if the price of TRX drops significantly, it may affect the system's collateralization ratio. However, precisely for this reason, USDD has set such a high safety margin. Even if the price of TRX is halved, the system still has ample collateral protection. Moreover, with the advancement of multi-chain deployment, USDD is gradually introducing more diverse collateral assets, including external stable assets like USDT, further reducing systemic risk.
From a market performance perspective, USDD's total supply has already surpassed $700 million, with a protocol TVL exceeding $750 million. These numbers have achieved significant growth in just a few months, especially after the launch of the Binance wallet Yield+ activity in December 2025, where USDD's TVL increased by tens of millions of dollars in a single day. This growth rate demonstrates the market's dual recognition of USDD's stability and yield.
In terms of risk control, USDD has established a comprehensive liquidation mechanism. When the collateralization ratio falls below the safety threshold, the system sends risk alerts to users. If users do not promptly replenish their collateral, the system will automatically initiate Dutch auction liquidation to ensure debts are quickly repaid. This mechanism has functioned well during multiple market fluctuations in 2025, with no accumulation of bad debts.
The reason USDD can stand out in the fiercely competitive stablecoin market lies in three core points. First is the safety margin brought by over-collateralization. Second is the on-chain transparent and verifiable mechanism design. Third is the continuous ability to generate yields. #USDD is not just about stability but is a promise forged by millions of dollars in TVL, billions of on-chain transactions, and the trust of hundreds of thousands of community members.
For investors seeking stable assets, USDD offers a low-risk DeFi entry point. For users pursuing yields, the 12% annualized return of sUSDD is highly attractive in the current market environment. For DeFi veterans, USDD provides a rich strategic space for liquidity mining opportunities within the multi-chain ecosystem. This is the value that @usddio aims to convey: building trust through stability, proving strength through data, and winning the future through transparency.
