Analysis of the Development Trends and Diversified Patterns of the Stablecoin Market

The total market capitalization of stablecoins has exceeded $205 billion, and the market share of USDT continues to decline. Currently, the stablecoin market is showing a trend of diversified development, with traditional stablecoins coexisting alongside new types of stablecoins.

Traditional stablecoins

USDT (Tether)

• Issuer: Tether
• Launch date: 2014
• Value peg: pegged 1:1 to the US dollar, backed by reserve assets
• Market Position: The world's earliest and largest trading stablecoin
• Controversy: Reserve Transparency Issues

USDC (USD Coin)

• Issuer: Founded by Circle and Coinbase
• Launch time: 2018
• Features: Strong compliance, high transparency of reserve assets
• Market position: the second largest stablecoin after USDT

FDUSD (First Digital USD)

• Issuer: First Digital Labs
• Launch time: 2023
• Pegging Mechanism: 100% US dollars or equivalent cash equivalents as reserves
• Blockchain support: Ethereum and Binance Smart Chain

DAI

• Issuer: MakerDAO
• Launch date: 2017
• Features: Decentralized, over-collateralized stablecoin
• Operating Network: Ethereum and other EVM compatible chains

New Stablecoin

The new type of stablecoin provides additional income for holders through innovative models while maintaining price stability. Main features:

1. Provide returns through low-risk asset investments, token staking, and other methods.
2. Maintain price stability and high liquidity
3. Combine on-chain assets with off-chain financial instruments

1. USDe

• Developer: Ethena Labs
• Operating mechanism: Maintains a 1:1 peg to the US dollar through a Delta neutral strategy
• Sources of income: staking rewards, funding rates, and basis income
• Current yield: sUSDe approximately 8.64% APY

2. USD0

• Issuer: Usual Protocol
• Features: Issued with RWA assets as a 1:1 reserve
• Operating mechanism: Users deposit assets to obtain LDT synthetic assets

3. Sky Dollar (USDS)

• Issuer: Sky ( original MakerDAO )
• Features: Can be exchanged with DAI at a 1:1 ratio, SKY token serves as a governance token.

4. USDD

• Issuer: TRON联合储备
• Features: Over-collateralized endorsement of various mainstream digital assets
• Public Chains: TRON, Ethereum, BNB Chain and 11 other public chains

5. BlackRock USD (BUIDL)

• Issuer: BlackRock
• Features: The first tokenized fund, combining traditional finance with blockchain technology
• Source of income: returns from underlying assets, currently about 4.5% APY

6. Ondo US Dollar Yield (USDY)

• Issuer: Ondo Finance
• Operating mechanism: supported by short-term U.S. Treasury bonds and bank deposits
• Source of income: underlying asset yield, currently about 4.65% APY

7. USDX Money (USDX)

• Issuer: Stables Labs
• Operating mechanism: Earn income through Delta neutral investment portfolio strategy
• Features: Offers a variety of coin options with a higher yield.

8. Frax (FRAX)

• Issuer: Frax Finance
• Operational Mechanism: Combination of Partial Collateral and Algorithmic Mechanism
• Sources of income: interest income, liquidity mining, governance token FXS

9. Resolv USD (USR)

• Operating mechanism: Using ETH and derivatives as collateral, protecting assets through hedging operations.
• Source of income: ETH staking yield, hedging operation spread

10. M By M⁰ (M)

• Features: Decentralized stablecoin protocol
• Operating mechanism: Minting M tokens through off-chain collateral
• Sources of income: collateral earnings, minting fees, penalties

11. yala

• Features: Stablecoin protocol based on the Bitcoin ecosystem
• Operating mechanism: Users deposit BTC to borrow stablecoin $YU
• Source of income: Earn additional income through DeFi protocols

Stablecoin Market Outlook

The stablecoin market is massive and serves as the cornerstone of DeFi and future payment finance. In the short term, stablecoins backed by fiat reserves such as USDT/USDC will continue to dominate the market. New types of stablecoins are mainly divided into two categories:

1. Use traditional financial assets as reserves, with stable but not high returns.
2. Maintain stability through arbitrage, but there are transparency and regulatory issues.

The market value of stablecoins has further expansion potential, but caution is needed regarding the bubble risks brought by asset double counting. Investors may pay attention to emerging stablecoin protocols to seize airdrop and staking reward opportunities, but should approach platform coin investments with caution.