In the midst of significant fluctuations in the crypto market, the choice of stablecoins becomes increasingly critical.

Imagine a scenario: in 2026, the market peaks and then rapidly adjusts to around $60,000. At this moment, your contract position could be liquidated instantly, and your spot gains could be halved, while the reserve issues of traditional stablecoins still loom overhead—what should you do then?

Consider a three-step plan to hedge risks:

**Stage One: Top Positioning**. When market top signals appear, convert profits into on-chain stablecoins. Take USDD as an example; its 230% over-collateralization mechanism means that even in extreme market volatility, the risk buffer is larger.

**Stage Two: Hold and Earn**. Deposit stablecoins into lending protocols to earn annualized yields of 7-12%. During market consolidation, you can wait for opportunities while earning profits, ensuring your funds are not idle.

**Stage Three: Reverse Operation**. When a sharp decline occurs, immediately swap into other stablecoins or fiat via cross-chain bridges—zero fees, across 6 chains in just 30 seconds. This allows flexible market response and bottom-fishing in extreme conditions.

Why not choose other stablecoins? USDC faces policy risks and higher centralization risks; USDT's printing transparency is highly controversial; DAI is linked to ETH prices and can be affected in extreme market conditions. In comparison, some stablecoins adopt open wallet and on-chain real-time auditing mechanisms, enhancing risk transparency.

Market volatility is unavoidable, but by selecting appropriate stablecoin tools and strategic combinations, you can better find opportunities amid risks.