Just scrolling through Twitter, I saw that #USD1 is linked to #Myriad, officially entering the prediction market settlement. Now the competition for 'scenario rights' among stablecoins is becoming increasingly interesting.

Looking back at several major stablecoins, their growth paths are actually quite different:

USDT: Won due to time dividend. In the early days, there were basically no options for exchanges, and it slowly became the default currency.

USDC: Took the institutional route, clinging to institutional giants, the elite path of DeFi collateral.

Now USD1 seems to be taking a third route: growing from application scenarios.

This time entering the prediction market actually makes a lot of sense. Prediction markets have a very obvious characteristic, where funds will continuously operate at high frequency inside.

👉 Prediction → Settlement → Re-prediction

👉 Bet → Won → Re-bet

If a platform defaults to using a certain stablecoin for settlement, over time, users basically become lazy to switch back to other stablecoins. Gradually, this stablecoin becomes the default currency in this scenario.

So I feel that USD1’s strategy is actually quite clear; it doesn’t compete with USDT in history, nor does it compete with USDC in institutions. Instead, it seeks out some new growing scenarios, such as DeFi, AI, and prediction markets.

If more and more projects in these scenarios default to using USD1 for settlement, the demand will actually grow on its own. Coupled with the synergy with BNB Chain, having a big tree to provide shade makes it easier for retail investors, as low fees and fast speeds provide a quick experience that can retain users.

Overall, the flywheel effect of USD1 is forming; the more scenarios there are → the harder the demand → the deeper the liquidity → more projects are willing to integrate, the future development is limitless, and we are looking forward to it. 🧐