Justin Sun, Founder of TRON, stated today in an open letter on Twitter that an all-new stable coin, USDD (or Decentralized USD), will launch on the TRON blockchain, marking the company’s official entry into the field of decentralized stable coins.
TRON DAO will collaborate with other blockchain industry heavyweights to create USDD. It will use mathematics and algorithms to attain the overarching aim of financial freedom for all.
Sun stated in another open letter that a TRON DAO Reserve would be established to ensure the USDD’s long-term development.
USDD will initially be released as a TRC token on the TRON network. The TRON DAO Reserve will act as a transparent system for managing the reserves that support the USD.
The USDD will not be redeemed, managed, or stored by any centralized entity. Rather, it will achieve complete on-chain decentralization. USDD will be released decentralized and tied to the underlying asset, TRX.
Users and arbitrageurs can send 1 USDD to the system and receive 1 USD worth of TRX when the USDD price is less than 1 USD.
Users and arbitrageurs can send 1 USD worth of TRX to the decentralized system and receive 1 USDD when the USDD price is higher than 1 USD.
Regardless of market volatility, the USDD protocol will maintain the USDD at 1:1 against the US dollar using appropriate algorithms in a decentralized manner.
Taken as a whole, this decentralized currency protocol with a stable price will significantly broaden crypto’s use cases, making it truly accessible with far-reaching implications for the blockchain space and the real economy.
TRON has over 87 million on-chain users and 3 billion transactions in its ecosystem after four years of growth.
TRC-20 USDT has surpassed ERC-20 USDT in circulating supply, standing at $41 billion, making TRON the world’s largest stablecoin network. It holds approximately $55 billion in financial assets, including on-chain stablecoins, and has settled and cleared over $4 trillion in total financial assets.
The TRON network was fully decentralized and reformed as the TRON DAO, the world’s largest decentralized autonomous organization, in December 2021. (DAO).
Around the same time, the Grenada government officially named Sun as its Ambassador and Permanent Representative to the World Trade Organization. Sun has been actively representing Grenada at many WTO sessions since then.
Sun stated that during his tenure, he will vigorously encourage the merger of cryptocurrencies and sovereign governments in order to develop a more safe, efficient, and inclusive financial infrastructure.
Sun has also stated that he will continue to use his knowledge in digital currency for a collaborative response to the new difficulties that digital transformation will face in the post-pandemic future.
USDD on TRON is a minor step toward establishing TRON-based stablecoins, but a tremendous leap forward for humanity in its pursuit of ultimate financial independence.
People should be able to enjoy more than the four freedoms suggested by Franklin Roosevelt — freedom of expression, freedom of faith, freedom from want, and freedom from fear.
They should also have the right to financial freedom, wealth freedom, and the ability to preserve their private property.
The ultimate goal is to make equitable access to financial services a basic human right. Financial services, like water and oxygen, will become a necessity in the future, accessible to individuals all over the world.