Mezo Network's MUSD design approach is quite interesting. The key point is—it doesn't rely on traditional manual interventions to maintain stability, but instead achieves it through incentive mechanisms.

For example, suppose market fluctuations cause MUSD to drop to $0.97, placed in a regular liquidity pool. How do conventional stablecoins handle this? Wait for manual adjustments by the team, burn tokens, or other manual operations. But Mezo's approach is completely different—it designs on-chain incentive layers that motivate market participants to arbitrage and balance automatically when prices deviate.

This design has several advantages: first, it reduces dependence on centralized governance; second, it responds quickly—since incentive mechanisms are inherently more agile than manual approval. Stability isn't enforced top-down but is "induced" by economic models. Third, it costs less, with fewer manual intervention costs.

Of course, the premise is that incentive parameters are set properly; otherwise, there might be over- or under-compensation. But this approach of solving stablecoin issues through mechanism design indeed represents a development direction in DeFi—trying to replace administrative measures with economic incentives as much as possible.