Analyst: USD1 Starts Poorly with Limited Inflows and Lack of Genuine Demand
According to CNBC, data shows that the stablecoin USD1 launched by Trump's World Freedom Finance has had a lackluster start, with weak capital inflows and a lack of genuine demand. Kaiko analyst Adam Morgan McCarthy stated that the token has not yet successfully transitioned from decentralized trading platforms to centralized platforms serving the mass market. According to Kaiko's research, the average daily trading volume of USD1 on the BSC-based decentralized exchange PancakeSwap once exceeded $14 million. Moreover, over half of the liquidity on PancakeSwap comes from three wallets, "These are market-making wallets, not genuine demand," McCarthy said. USD1 has yet to demonstrate broad market acceptance, for example, Ripple's newly launched RLUSD has an average daily trading volume of about $50 million, far surpassing USD1. One major reason for the lag is the lack of institutional partners or market promotion incentives, which are typically key factors in gaining attention in the early stages of the stablecoin market.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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