According to BlockBeats, on August 26, NDV co-founder Christian announced that he has provided $6.5 million in liquidity to the Usual stablecoin protocol on Morpho. Christian emphasized that the best products should balance and incorporate several key aspects.
Firstly, he highlighted the importance of actively seeking the highest risk-free yield across the industry. Secondly, he stressed the need for a deep investigation into the safety of all interest-generating methods, considering various extreme scenarios and conducting thorough audits. Thirdly, he pointed out the necessity of understanding liquidity deeply, noting that scale does not always equate to security. For instance, the underlying mechanisms supporting a stablecoin or interest-bearing asset should be scrutinized, especially during a potential de-pegging event.
Christian also mentioned the importance of maximizing incentives and minimizing fee costs by leveraging partnerships to their fullest extent. He advised considering the perspectives of both large-scale investors and small-scale users, understanding their different mindsets and needs. Lastly, he underscored the need to continuously evaluate the tension between centralization and decentralization. He suggested that certain functions should use centralized solutions to address barriers and cost issues, while other areas must maintain decentralization and transparency to build trust.