RWA Decentralization stablecoin: usual.money analysis

Stablecoin Market Status

Stablecoins are the cornerstone of the cryptocurrency industry, playing a key role in large-scale payments and industry adoption. As of the end of July 2024, the total market capitalization of stablecoins reached $168 billion. Among them, the two major centralized stablecoins USDT and USDC together account for about 90% of the market share.

The stablecoin business is highly profitable. In 2023, the two major stablecoin giants generated over $10 billion in revenue, with a valuation exceeding $200 billion. In the first quarter of 2024, a stablecoin issuer even recorded a profit of $4.52 billion. This profit monopoly contradicts the spirit of crypto, which is why various decentralized stablecoin projects are continuously emerging.

usual.money Project Overview

usual.money introduces U.S. Treasury bonds as collateral, providing transparency and security based on Ethereum smart contracts, and returns profits to the community and contributors. This design combines the 1:1 RWA characteristics of centralized stablecoins with on-chain security and transparency.

In April 2024, Usual Labs completed a $7 million financing round, with participation from several well-known investment institutions. Founder Pierre Person previously served as a member of the French National Assembly, promoting legislation for crypto assets in the country.

On July 10, the Usual mainnet went live. As of August 6, the project's TVL reached $146 million. Its stablecoin USD0 is mainly traded in the Curve USD0/USDC pool, with liquidity of approximately $11.33 million.

Mechanism Analysis

Collateral and Minting

USD0 can be minted in two ways:

1. Direct RWA Deposit: Users can deposit eligible RWA at a 1:1 ratio to receive USD0.

2. Indirect USDC/USDT deposit: Users deposit USDC/USDT, secured by RWA collateral provided by third-party providers, and receive USD0 on a 1:1 basis.

Revenue Model

USD0++ is the locked version of USD0, offering the following benefits:

• USUAL token earnings: Calculated daily and can be claimed.
• Basic interest guarantee: After locking for 6 months, you can receive a return of no less than USD0 in collateral earnings.

User Participation Guide

1. Visit the usual.money official app and enter the early access code.

2. Deposit USDC, USDT, or ETH to mint USD0.

3. Participate in the Pills activity to earn rewards:

   • Lock USD0 for USD0++ to receive 5 Pills
   • Hold USD0++ to earn 3 Pills daily
   • Provide liquidity in the Curve USD0/USDC pool to earn 1 Pill daily.
   • Provide USD0 liquidity in the USD0/USD0++ pool to earn 3 Pills daily.

4. Complete tasks on Galxe to earn extra Pills rewards.

By the above methods, users can contribute liquidity to the project and receive potential USUAL token airdrops. The project is expected to conduct its token generation event in the fourth quarter of 2024, with 90% of USUAL tokens allocated to the community.