Have you ever thought about it? The USDT and USDC in your wallet are actually connected by a single line — that line is called regulation.

This is not alarmist. The essence of centralized stablecoins is "on-chain fiat currency." No matter how advanced the code is, it cannot change this fundamental fact. Once regulatory authorities issue a warrant, exchanges suspend deposits and withdrawals, and your funds instantly become frozen. The entire DeFi ecosystem's liquidity pools, lending protocols, and trading pairs — all rely on these stablecoins to operate. In extreme situations, how bad could the chain reaction be? Imagine scenarios of liquidity exhaustion and cascading liquidations.

This is the true picture of the current crypto market: we are in a seemingly decentralized world, yet all our chips are staked on centralized assets. Completely opposite to the original intention of blockchain "censorship resistance."

But think about it from another angle — what if your stablecoin is directly backed by on-chain native assets? For example, backed by assets like BNB that truly circulate on the chain? Open-source code, on-chain audit records, and not subject to any single country's regulatory authorities. This is the real sense of financial security.

Lista DAO is working on building, to some extent, a "financial protective layer" for the BNB ecosystem — gradually replacing reliance on centralized stablecoins with native assets like lisUSD and slisBNB. Recently, they have also been promoting the optimization and migration of the Liquity codebase to further enhance system security and efficiency.

In the long run, the future of DeFi will definitely be based on on-chain native assets. Those who start laying out now will be able to laugh last.