USUAL Value Discussion

As the governance token of Usual Protocol, USUAL Token’s future potential is influenced by various factors, including technological innovation, market demand, tokenomics design, and market environment. The following is a comprehensive analysis of the future prospects of USUAL Token:

1. Project Background and Technological Innovation

USUAL Token is the core governance Token of Usual Protocol, which aims to issue the stablecoin USD0 backed by real-world assets (RWA) in a decentralized manner. The innovation of USD0 lies in its 1:1 anchoring of RWA assets such as US Treasury bonds, providing higher transparency and security, avoiding the risk of traditional stablecoins relying on commercial bank reserves. In addition, USD0++ as an enhanced national debt product further expands the functionality of the protocol, allowing users to obtain dual income by locking USD0 (basic national debt income and protocol growth income), which design has attracted a large number of users to participate.

2. Tokenomics and value capture

The value capture mechanism of USUAL Token is designed to be more complete:

• Income distribution: The income generated by the protocol such as minting fees, redemption fees, etc. will be used to support the value of USUAL.
• Staking reward: USUAL holders can receive an additional 10% of the new Token as a reward through staking, incentivizing long-term holding.
• Deflationary Mechanism: As the asset under protocol management grows, the issuance speed of USUAL will gradually decrease, and this deflationary design contributes to long-term value growth.

3. Market Demand and Growth Potential

• Stablecoin market space: The current stablecoin market is huge, with a combined market capitalization of USDT and USDC exceeding 100 billion US dollars. If Usual Protocol can capture a certain market share, the value of USUAL will significantly increase.
• RWA track growth: As the demand for on-chain national debt products increases from traditional financial institutions, Usual, as the first protocol to tokenize national debt income, is expected to become an important participant in this emerging market.

4. Price Prediction and Market Performance

According to the predictions of multiple analysis institutions, USUAL coin may show a steady growth trend in the next few years:

• Short-term forecast: The price may fluctuate between $1.8 and $4.5 in 2025, and some predictions suggest that its highest price could reach $2.95.
• Long-term forecast: Prices could reach $3.29 to $8 or even higher by 2030.
• Current Performance: As of January 2025, the price of USUAL is $0.3854, which has retreated from its historical high of $1.36, but still shows strong resilience and growth potential.

5. Risks and Challenges

Despite the promising outlook for USUAL coin, the following risks still need to be noted:

• Regulatory Risk: Changes in global financial regulatory policies may have a significant impact on stablecoins supported by RWA.
• Market Competition: As more projects enter the RWA track, Usual Protocol needs to maintain technological innovation and first-mover advantage.
• Market Volatility: The high volatility of the cryptocurrency market may cause significant fluctuations in the price of USUAL in the short term.

6. Summary and Suggestions

As the core governance token of Usual Protocol, USUAL Token demonstrates strong long-term growth potential with its innovative RWA support mechanism and tokenomics design. However, investors should fully understand the market risks and make decisions based on their own risk tolerance before participating. For investors seeking long-term value, USUAL Token is undoubtedly a project worth paying attention to. For more detailed analysis or specific investment advice, please refer to relevant sources or consult professional advisors.