The TVL of the USDD stablecoin hits a new high, surpassing $940 million. Many people may ask, why are the liquidity supply(Supply) and the total value locked(TVL) not equal? Actually, the logic behind this is quite clear—the difference comes from the excess collateralization mechanism of the Vault.

But here, it needs to be clarified: where do the non-excess collateral parts come from? There are mainly two channels: one is the 1:1 redemption through the PSM channel, and the other is generated through USDT pegging. These two models themselves have a solid asset base, ensuring a high level of security. In other words, whether it’s the excess collateralization or the PSM redemption part, the risks are well-controlled. Therefore, the stability behind this data is indeed trustworthy.