GateToken (GT)

Just finished reading about Gate's USD1 Soft Staking, and there are a few points I want to highlight

What I want to talk about isn’t the yield numbers themselves, but a more crucial change: USD1 is shifting from being a simple “hold‑type stablecoin” to an asset that can be used as a tool

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What could USD1 do before? Hold it to earn interest, with some lock‑up mechanism.

In this Gate activity, holding starts earning rewards immediately, with no lock‑up. One USD1 can be entered, and funds are free to move at any time.

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More importantly, your USD1 can now be used directly as collateral in Gate’s unified account (up to a 10 million USD1 limit).

That may sound ordinary, but it means: the USD1 you hold is not just an asset waiting to earn interest; it can itself become a tool for opening positions, shorting, or hedging.

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The significance of this:

The same USD1 can now do two things

▸ Hold it to earn annual yield (estimated up to ~8%, adjusted daily)
▸ Use it as collateral to open positions in the unified account

These two are not mutually exclusive; they can run simultaneously.

One pool of money can earn yield while also being released for liquidity when needed. This dual‑track approach is rare among crypto stablecoins.

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A few points I’ll watch myself:

▸ The 8% figure is an estimated cap; the more participants, the lower the reward budget per user. So it’s not a fixed 8%, it’s dynamic.
▸ One unit can join, indicating almost no entry barrier. But because the barrier is low, a full participation could depress the annual yield.
▸ The USD1‑as‑collateral path is just opening; the specific discount factor should follow Gate’s real‑time display.

Stablecoins carry de‑pegging risk; activity rules follow the latest official page. Confirm you are not in a restricted region before holding.

For reference only, not investment advice, DYOR
#usd1

.@Gate has burned another $17.75 million worth of GT, pushing total token burns above $1.31 billion https://t.co/un3aiZMh7P