Circle CEO recently addressed the challenge posed by OUSD, explaining the core moat of USDC from three dimensions: network effects, liquidity, and regulation. He emphasized that the stablecoin market is fundamentally a winner-takes-all business, and USDC, with its deep liquidity and compliance advantages, will not slow down due to competitors.
Regarding OUSD's three main selling points—free redemption, revenue sharing, and alliance governance—the CEO dismantled them one by one: free redemption is unsustainable cost-wise; revenue sharing carries potential risks; and alliance governance may suffer from divergent interests, hindering efficient decision-making. He stressed that USDC's transparency and regulatory compliance are the foundation for long-term growth.
