Pi Protocol enters the stablecoin market with a high-yielding alternative. Reeve Collins, Tether’s co-founder, has unveiled a new initiative.
The latest project, Pi Protocol, promises to establish a yield-bearing stablecoin that might provide consumers with an added benefit: returns on their cryptocurrency holdings.
What Is the Pi Protocol’s Unique Selling Point Stablecoin?
Pi Protocol is a decentralized initiative that will be available on the Ethereum and Solana blockchains later this year. The USP is what makes the Pi Protocol unique. It protects its stablecoin with bonds of real assets backed by trust. In contrast to normal stablecoins like USDT, holding the USP stablecoin allows you to get incentives.
The USP stablecoin functions via a feature that allows users to mint tokens by distributing USI tokens that generate yield. Its name comes from its relationship to the US dollar; however, the particular payment currencies are unclear.
Why is this such a huge deal?
The stablecoin market is very competitive, with USDC, USDe, and Dai maintaining their positions. Pi Protocol’s solution gives you the ability to produce passive income. In his views, Reeve Collins indicated that yield-bearing stablecoins would increase investor interest. This recent project launch supports Reeve Collins’ prognosis.
The cryptocurrency community is primarily reliant on stablecoins, particularly USDT, to operate. Users can use stablecoins to transfer value. Stablecoins are important in the digital market because their prices do not fluctuate. These digital assets have significant liquidity, which facilitates trading and other operations.
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