The recent odds of de-pegging for USD1 in the crypto market have given an unexpected number—1 to 47. What does this odds ratio imply? Simply put, market participants almost unanimously believe that it is unlikely for this USD-pegged stablecoin to de-peg in the short term.

Where does this confidence come from? Although USD1 has experienced brief price fluctuations before, it has always been able to quickly return to its $1 peg thanks to sufficient asset reserves backing it and a relatively robust compliance framework. A major exchange has launched related fixed-term financial products with a maximum annualized return of up to 20%, further validating market recognition of this type of stablecoin.

From the market expectations behind the odds, the de-pegging risk is generally priced very low. On one hand, this reflects the maturity of the stablecoin ecosystem; on the other hand, it shows that market participants have considerable confidence in its risk control mechanisms. Under this market consensus, the actual application scenarios and platform support for stablecoins are increasing, all of which serve as reference factors for related investment decisions.