The stablecoin war is 100 times more brutal than imagined

USD1 has not experienced a substantial de-pegging. Based on current events, it is very likely a malicious attack, especially given the market sentiment of being "a scared bird" at the moment. This has indeed triggered a brief panic, but it is not a systemic risk.
This incident also reveals many underlying issues.
Only those who can withstand the panic cycle can emerge from the stablecoin market. How many times was USDT FUDed back in the day?
If you don’t die, you can become king. USD1 has just passed the first hurdle. This is an excellent stress test for USD1, especially given the current market sentiment.
This is definitely a good thing for USD1.
Additionally, it shows that the market is not entirely driven by "background premiums." Stablecoins are the most realistic track. There is only one iron law here:
Can it stay stable at 1 USD for 365 days?
This incident also indicates that USD1’s liquidity depth is not yet sufficient. Therefore, when large amounts of funds move in and out, arbitrage positions concentrate, or market sentiment fluctuates, the price can easily be "shaken up." This is not a death signal; it’s a typical stress response of emerging stablecoins.
However, USD1 is not an algorithmic stablecoin; it is backed by assets. So it has not reached the true de-pegging kill line and will recover soon.
This extreme test for USD1 is very beneficial for its development. Under such extreme pressure and market sentiment, USD1 successfully passed. Many stablecoins would have failed at this step.
Insights:
USD1 has not de-pegged, and its price fluctuation (<0.2%) remains within the normal noise range for stablecoins. The attack only caused brief market panic.
This was a typical market manipulation attempt, not a deterioration of fundamentals.
Investors should prioritize verifying on-chain price data and official channels to avoid overreacting. Many people did lose funds during this event.
USD1 should also consider establishing a temporary emergency mechanism, such as immediately activating deep hedging when short-term abnormal price fluctuations occur, to minimize the impact of panic emotions.