Decentralized Ownership & Governance
Review
Pros & Cons
Key Benefits
Usual gives you a chance to actively participate in how the platform is run by holding its $USUAL governance token. This means you have a say in key decisions, such as updates to the platform or changes to fees. It also lets you get a share in the profits, unlike centralized stablecoins like USDT or USDC.
Integration of Real-World Assets (RWAs)
Usual backs its stablecoin (USD0), with solid, trustworthy assets like U.S. Treasury Bills. These are considered some of the safest investments in the world. By using real-world assets, Usual offers you more stability than some crypto-only stablecoins. The latter can be vulnerable to sharp price swings or collapses in the crypto market.
User Incentives & Yield Opportunities
Usual gives you different ways to earn rewards. You can earn by simply participating in the platform. But if you want more, USD0++ offers higher yields by investing your stablecoin in riskier but potentially more profitable opportunities. Whether you prefer safer investments or want to take on more risk for higher rewards, the choice is yours.
Red Flags
Complexity for New Users
Usual might feel a bit overwhelming if you’re new to decentralized finance (DeFi). The platform operates across multiple blockchain networks (multi-chain infrastructure) and involves governance tokens like $USUAL, which could be confusing if you’re not familiar with how they work.
Reliance on Real-World Assets
While using U.S. Treasury Bills and other real-world assets provides stability, it also ties Usual’s performance to the traditional financial system. If the value of these assets drops (for example, during a financial crisis), it could negatively affect the value of USD0, and in turn, reduce the stability of your holdings.
Smart Contract Risks
Like most DeFi platforms, Usual relies on smart contracts to operate, which are pieces of code that automatically execute actions on the blockchain. Even with audits and security checks, there’s always a chance of vulnerabilities or bugs in the code. If something goes wrong, you could lose funds or the platform could experience disruptions, which would put your investments at risk.