In the crypto market, we have seen how stable currency demands have grown over time. There are various reasons why this demand is increasing and one of the biggest reasons is that now you can earn some APR just by depositing these coins on certain protocols. At the same time, we get the flexibility to convert any crypto into such stable coins to avoid market fluctuation and buyback when things stabilise or down for a better buying price. I do this many times when I see that the market is dropping a lot or expect some big fluctuation then I convert to a stablecoin and buy back when I think the price is low. This helps me to increase my overall crypto inventory and ultimately it's a profitable deal in this market.
The good thing about this new stablecoin is that it is backed by real-world assets and pegged to USD. The finance protocol Usual has launched this stablecoin and its called USD0. It is a permissionless coin backed by real-world assets which means when the value of these assets grows then a yield will be given to the holders.
USD0 holders will receive yields generated by the real-world assets, while the governance token, USUAL, will be granted to members of the Usual ecosystem, giving them the right to vote on proposals that guide the token's future.
As I already mentioned all the USD0 holders will be receiving some yield according to the value generated by real-world assets and this is the first time we have seen this kind of coin in the market. It's hard to say how things will materialise in future but I think the concept looks good where even if you don't do anything then also you have the probability to earn some reward which can be a reward of yield. These real-world assets can be real estate also where price appreciation is highly expected.
The company is also going to bring a proposal where people will be able to vote for this and the usual tokens will play an important role in this governance voting. I think there is a lot that will be coming along the way and it is worth exploring to see how this new stablecoin works in the crypto market. It will offer everything that any stable coin offers but on top of that the holders will be able to generate some yield which is the USP.
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