Why it matters

The Stablecoin Market is Broken

The first generation of stablecoins solved a real problem: how to bring stable, dollar-denominated value on-chain. But it solved that problem at significant cost.

Centralized and opaque. The largest stablecoin issuers operate as black boxes. Reserve composition is often unclear, attestation practices are inconsistent, and meaningful, real-time transparency is the exception, not the rule. Holders are routinely asked to trust statements without independent verification.

One-way value capture. When you hold a typical stablecoin, the issuer holds your dollars and earns yield on them by investing in money market instruments and short-term debt. That yield goes to the issuer exclusively, not to the users providing the actual capital. For the largest issuers, this has meant billions in annual interest income generated entirely from holder capital. This is money being extracted from the ecosystem, money which, under a fairer model, could flow directly back to the markets.

Regulatory uncertainty. The largest stablecoins exist in a regulatory grey zone, and have been delisted, restricted, or banned in various jurisdictions on short notice. This isn't a hypothetical risk, it has happened repeatedly.

If it's your capital, it should work for you, not for us or anyone else.