USDD the new tron coin
Justin Sun launched the USDD stablecoin on the market in April. This coin will be part of the TRON blockchain and will work similarly to the price of the US dollar or a gold-based currency. USDD is similar to UST, the Terra stablecoin that was the largest of its kind until early May as an algorithmic stablecoin. It may seem intimidating to consider investing in the TRON stablecoin because it is so new and untested.
What is USDD?
USDD is a TRON stablecoin and digital asset that became live on May 5, 2022 on BNB Chain, Ethereum, and TRON. USDD, according to Justin Sun, will reward investors with a 30 percent annual percentage yield.
The USDD stablecoin has a short history, having only been introduced in late April. The TRON blockchain, on the other hand, has been operating for years and is one of the most popular decentralized platforms, complete with its own coin.
Because both the USDD and UST stablecoins are algorithmic stablecoins, they work by preserving price stability through algorithms and smart contracts that may regulate the quantity of tokens in circulation.
TRON DAO Reserve Bought BTC and TRX
The TRON DAO Reserve team announced two acquisitions for the project’s stablecoin in the midst of the market crisis. They also welcomed Ankr into the Reserve as the fourth member.
- The cryptocurrency market has been tumultuous over the last days, with bitcoin shedding roughly $10,000 and altcoins following suit.
- The TRON DAO Reserve revealed that it had purchased 500 BTC for over $15.5 million at an average price of $31,031 in last days, as well as approximately 600,000,000 TRX for $45,641,630. The pair cost the corporation more than $60 million in total.
Separately, Justin Sun’s company announced that Ankr had joined as the fourth member and was now a whitelisted institution.
USDD VS UST
USDD is TRON’s stablecoin, which uses smart contracts and algorithms to preserve its value. TerraUSD (UST) is a completely decentralized algorithmic stablecoin that can be found on the Terra network. This is a scalable, yield-bearing coin that is directly tied to the US dollar.
Apart from the computational approaches employed to help UST maintain its value, the only connection between UST and the USDD stablecoin is that they are both tied to the US dollar. Terra wants to create a large ecosystem around UST and LUNA. The APY for UST and the USDD stablecoin is set at 19.5 percent and 30 percent, respectively, because to the variations between the two coins.
The Bottom Line
Now that you have a better understanding of USDD, you can decide if the USDD stablecoin is good for you and your cryptocurrency portfolio. While this stablecoin is still in its infancy, it already has several notable benefits that could pay off in the future. USDD is quite comparable to the UST stablecoin in terms of algorithmic stability. If you know how to use UST correctly, you can use it as the foundation for your USDD investments.
this article was written by quratulain zaheer