USDD 2.0, the most critical step might be the launch of PSM.

Compared to the previous purely algorithmic anchoring method, this time USDD has brought the issue of anchoring stability back to reality - directly endorsing with market-recognized stable assets such as USDT, USDC, and TUSD, establishing a system that is always willing to exchange 1:1. In simple terms, this is a "stability pool" where you can exchange USDT for USDD at any time, and vice versa. No matter how the external market fluctuates, as long as this pool exists, USDD will not decouple.

Why is this mechanism important?
In order for USDD to regain the trust of the market, it must address a fundamental issue: when I hold USDD, can I confidently exchange it for something of equivalent value in USD at critical moments?
This PSM is like an always-open automatic exchange counter, giving users this confidence. You don't need to worry about price fluctuations in the secondary market, nor do you have to worry about the platform suddenly closing the exchange window; all exchanges are written in the contract, executed automatically, and are transparent on the chain.

Of course, any mechanism comes at a cost. The USDD stable pool relies on continuous replenishment and maintenance by the TRON DAO Reserve, requiring constant allocation of funds to reserve these stablecoins. This means that there is a complete set of asset management and risk control logic behind it, which cannot be solved solely by "algorithmic stability."

But precisely because of this, it is more realistic and reliable than the previous logic of "balancing supply and demand through minting and burning."

The biggest benefit for users is:

Not afraid of detaching
Not afraid of illiquidity
Not afraid of contract manipulation.

Once these three points are established, USDD will qualify to become a true "mainstream stablecoin" within the TRON ecosystem and may even be more widely accepted.

From a longer-term perspective, the PSM of USDD is also part of TRON's effort to build its own stable financial system. If TRON wants to truly promote USDD as a base currency in DeFi or cross-border payments in the future, its "stability" must be among the best in the industry. The PSM is the starting point for this goal.
@usddio #USDD