A quick overview of Binance’s latest Launchpool project Usual (USUAL)

Source: Golden Finance, Binance, Usual White Paper, Usual Official Website, Twitter Compiled by: Golden Finance

On November 14, 2024, Binance announced that Binance Launchpool launched the 61st project - Usual (USUAL), a decentralized fiat stablecoin issuer. Users can invest BNB and FDUSD into the USUAL reward pool on the Launchpool website after 08:00 on November 15, 2024 (Eastern Time Zone 8) to obtain USUAL. The USUAL activity will last for a total of 4 days. The website is expected to be updated within approximately 24 hours of this announcement, prior to the event opening.

Pre-Market Trading

Binance Pre-Market will list Usual (USUAL) on November 19, 2024 at 18:00 (ET) and open USUAL/USDT trading market. Pre-Market trading end time and spot listing time will be announced later. Eligibility for Binance Pre-Market trading depends on the country or region of residence of the user. Individual maximum holding limit: 40,000 USUAL

1. Launchpool details

• Token name: Usual (USUAL)

• Total supply of tokens: 4,000,000,000 USUAL

• Initial circulation: 494,600,000 USUAL (12.37% of the total supply of tokens)

• Total number of Launchpool: 300,000,000 USUAL (7.5% of the maximum supply of tokens) ）

• Smart contract details: Ethereum network (0x430a2712cEFaaC8cb66E9cb29fF267CFcfA38a42）

II. Usual (USUAL) Project Introduction

1. What is Usual?

USUAL is a secure and decentralized legal stablecoin issuer that redistributes ownership and governance through $USUAL tokens.

1. Usual is a multi-chain infrastructure that aggregates the growing supply of tokenized real-world assets (RWA) from entities such as BlackRock, Ondo, Mountain Protocol, M0 or Hashnote, turning them into permissionless, on-chain verifiable, composable stablecoins ( USD0 ).

2. Often built around redistributing power and ownership to users and third parties, similar to the scenario where Tether's TVL providers own the company and its associated revenue.

2. Why choose Usual?

Usual is based on three key observations:

1. Tether and Circle generated over $10 billion in revenue in 2023 and are valued at over $200 billion. This wealth creation is not shared with the users who contribute to their success.

2. Real World Assets (RWAs) are growing, but their integration into DeFi remains challenging despite the emergence of on-chain US Treasuries. This is evident from the fact that there are less than 5,000 RWA holders on mainnet.

3. DeFi users want to understand the success of the projects they support. The current revenue distribution model does not adequately incentivize users who take greater risks by joining early and contributing to the success of the project.

III. Usual's Vision

1. Rebuilding Tether On-Chain: Neutrality and Transparency

Cryptocurrency requires a fully on-chain fiat-backed stablecoin, supported by an infrastructure that ensures enhanced neutrality, transparency, and security.

Usual introduces a model designed to rebuild Tether entirely on-chain. In this system, the issuer is controlled by the holders of the Usual governance token. This includes decisions on risk policy, the nature of collateral, and liquidity incentive strategies. 2. Fiat stablecoins need to stay away from bankruptcy Fiat-backed stablecoins are partially backed by reserves held by commercial banks. This makes them subject to the fractional reserve practices of these banks, which undermines the security and stability of stablecoins. The recent collapse of SVB Bank highlights the systemic risk that commercial banks pose to DeFi due to undercollateralization.

Fiat-backed stablecoins face greater risks due to bank fractional reserve exposure

The first requirement for stablecoins is to ensure that their value remains stable relative to the currency they represent. Users must have firm confidence in the security of their capital. The collateral model provided by Usual is not linked to the traditional banking system, but directly to short-term bonds. The security provided by this prudent approach is strengthened by strict risk policies and insurance funds.

3. End the Privatization of Profits

Tether and Circle generated over $10 billion in revenue in 2023 and are valued at over $200 billion. However, this wealth is not shared with the users who contribute to their success. Usual aims to provide an alternative to fiat-backed stablecoins that privatizes profits on customer deposits while socializing losses. The centralized players behind the major fiat-backed stablecoins replicate the problematic structures of traditional banking, which is contrary to the principles of decentralized finance.

Usual's approach aims to create a more equitable financial system by redistributing value and power more equitably among all users.

Usual's goal is to make users owners of protocol infrastructure, funding, and governance. By redistributing 100% of value and control through its governance token, Usual ensures its community is in control.

The Usual protocol distributes its governance tokens to users and third parties who contribute value, realigning financial incentives and returning power to participants within the ecosystem.

Usual Redistributes 100% of value and control through its governance token.

4. Revolutionizing Stablecoin Ownership and Revenue Redistribution

Some models redistribute part of the revenue generated by stablecoins. However, Usual adopts a different model where users pool the revenue generated by stablecoin collateral. This revenue constitutes the protocol's funds. In return, users receive governance tokens that give them control over the protocol, funds, and future revenue.

This mechanism not only redistributes revenue, it also redistributes ownership of the system. It provides incentives for early adopters and offers them huge upside potential.

The transparent and public distribution of governance tokens ensures that the interests of all participants are aligned.

IV. Usual Token Economics

Token Distribution

$Usual 's distribution is community-centric:

• 73% of tokens are used for the public and liquidity provision

• 13.5% are allocated to MM/team and investors

• 13.5% for DAO/buying/voting