USDD, Tron’s decentralized, overcollateralized stablecoin had a formidable third quarter after witnessing a chaotic Q2.
Some excellent news
Messari, a number one crypto-analytics platform, not too long ago tweeted some metrics in relation to USDD. In accordance with the identical, the variety of wallets holding USDD has grown by 5x in Q3 alone.
In actual fact, as might be seen from chart hooked up herein, the variety of holders has hiked significantly over the previous quarter. The hike within the variety of holders plateaued at round 120,000, with the common pockets holding round 6,000 USDD .
Nevertheless, the speed of progress in its provide has slowed down. Up to now quarter, USDD’s provide solely grew by 0.2%. And but, that was not all. Together with its provide progress, USDD’s transaction quantity declined as effectively.
As might be noticed, the quantity declined immensely over the previous month. It appeared evident that there’s a lot of room for progress for USDD on this division, signifying that USDD nonetheless has an extended option to go on the adoption entrance.
So far as the stablecoin’s collateral is anxious, a lot of the USDD is backed by USDC. Nevertheless, USDT and Bitcoin are additionally a part of USDD’s equation. Although it doesn’t make a lot of the general USDD collateral, huge volatility from BTC might have an effect on USDD’s reserves if issues go south.
On the social entrance, the variety of social mentions and engagements for USDD noticed an enormous uptick over the previous week.
In accordance with LunarCrush, the variety of mentions for USDD went up by 311% over the previous week. Its engagements additionally grew by 168% over the identical time interval.
Some not so excellent news
Regardless of the large uptick in its mentions and engagements, the sentiment towards USDD continued to stay damaging. In actual fact, the weighted sentiment for USDD was damaging by way of the week, indicating that the crypto-community had a damaging outlook in direction of USDD.
Although USDD managed to see progress when it comes to variety of wallets and managed to not deviate much from its $1 peg, it nonetheless has deficiencies that have to be accounted for. It stays unsure whether or not USDD will handle to proceed to develop and be capable of compete with the likes of USDT and USDC.