Justin Solar has excitedly trumpeted the launch of the brand new model of his algorithmic stablecoin, USDD, taking to X to proclaim that it’s “about to launch with a 20% APY.” Nonetheless, he insists that individuals cease asking the place the yield comes from.
Unusually, it’s arduous to find out with any quantity of precision how USDD 2.0 will differ from the present implementation.
The latest model of the coin’s whitepaper dates to December 2022 — greater than two years in the past. It posits that its stability will come from the challenge serving within the function “of a decentralized central bank in the industry.”
Much more unusually, there aren’t any current governance votes for this challenge, with the final relationship to Could of 2023.
The audit experiences for the challenge haven’t been not too long ago up to date both, relationship to 2022. Humorously, 2022 can be the final time that any new USDD was issued.
Even the USDD Discord has no particulars about what USDD 2.0 is.
Nonetheless, there’s a “Beta” USDD 2.0 web site that seems to trace that it’ll get rid of most of the algorithmic options of USDD, as a substitute making it a JUST DAO stablecoin just like the JUST stablecoin (USDJ).
That is based mostly on a line on the web site that notes that “JUST DAO offers a lending protocol that enables users to mint over-collateralized stablecoins (USDD) by depositing Tron chain assets.”
It additionally exhibits three vaults that seem to correspond to Wrapped Tron, Tether, and CryptoFlow.
Unusually, JustLend DAO doesn’t have any governance dialogue of this launch of USDD 2.0. Nor does the JUST Secure Governance portal have any proposals associated to USDD 2.0.
Nonetheless, for these nonetheless searching for to know the protocol, there’s a documentation web site that’s at present linked from the beta web site. Particulars are nonetheless scarce, but it surely appears to explain a system that mimics JUST Secure and USDJ (themselves derivatives of Maker).
Solar appears intent on doubling down on the JUST Secure mannequin, although USDJ hasn’t seen substantial adoption, with a complete market capitalization of roughly $23 million. Twenty million of those tokens are at present in TSF2rqLdrrZG7PZkDxtvu6B2PTpofidMAX, an handle included within the reserves for USDD.
Solar has moved to allay any issues about the place the challenge’s yield comes from by insisting that there gained’t be any points “simply because we have plenty of money.”
