Author: Azuma, Odaily Planet Daily
Andre Cronje (AC), a veteran DeFi master and co-founder of many well-known projects such as Sonic, Yearn, and Keep3r, is going to develop algorithmic stablecoins.
On March 21, AC first disclosed his idea for the project on his personal X account. At that time, AC said that the team had made technical breakthroughs in the field of algorithmic stablecoins, but what happened in previous cycles had left him with "post-traumatic stress disorder" (PTSD), and he was not sure whether he should implement this plan.
As an innovative opportunity with huge potential market space, high mathematical appeal, and a concept that is more in line with the original spirit of cryptocurrency, algorithmic stablecoins have long been a track that various "geniuses" in the industry have flocked to. However, since the collapse of Terra (UST), the reputation of this track has suffered a severe setback... This is why AC mentioned "PTSD due to past events" in the first related dynamic.
However, the person who will be eliminated this time is AC after all. After the man once known as the "King of DeFi" revealed his intentions, although some users were opposed, more users left messages under the dynamic to express their support and expectations.
On March 22, AC reposted his first post and published a sentence Yolo (the acronym for You Only Live Once, which means that you can only live once, so you should live in the present and do it boldly), and seemed to be determined to promote the project.
On March 23, AC disclosed some details about the project for the first time. In a tweet, it posted screenshots of the algorithmic stablecoin, suspected to be called minimal usd (musd), undetermined, interacting with multiple contracts. AC also said: "When the TVL is $10 million, the annualized rate of return (APR) of the stablecoin can exceed 200%; when the TVL is $100 million, the APR is about 23.5%; when the TVL is more than $1 billion, the APR will stabilize at around 4.9%."
At the same time, AC also officially confirmed that it will form a team to fully release the project.
Although there is still no official introduction about this stablecoin as of the time of writing, according to the screenshots posted by AC, it seems that the operation of this stablecoin will be related to Sonic's native token S and liquidity derivative token stS (issued by Beets), which may mean that this stablecoin will be linked to the Sonic network in some sense, and at least the income will come from the staking rewards of the Sonic network.
Some industry professionals have also questioned the rate of return figures given by AC.
Eric Forgy, founder of CavalRe, commented: “I used to be skeptical about this project. Now I am convinced that it has flaws. Looking forward to seeing the details. Glad to review this stablecoin before going to mainnet.”
AC did not back down and responded directly: "After seeing a screenshot without any operational background, you dare to say 'sure'??? I am sure you know nothing, get out of my comment section."
Unfortunately, we are currently unable to see more specific details about the structure of this algorithmic stablecoin, but we are also looking forward to AC coming up with new tricks.
AC himself has been silent for a long time since the last round of DeFi cycle, but with Fantom's rebirth as Sonic, AC's entrepreneurial enthusiasm seems to have been rekindled. Today, he is almost the most active founder in the cryptocurrency field on X, publishing, commenting, and forwarding a lot of content every day.
In addition to Sonic and the algorithmic stablecoin mentioned in this article, AC himself seems to be preparing another high-leverage derivatives exchange flyingtulip, which is comparable to the currently popular Hyperliquid.
A new cycle, a new narrative, let us witness together whether AC can replicate and surpass its former self.
