The Cardano Stablecoin Proposal #卡尔达诺稳定币提案 refers to the proposal by Cardano founder Charles Hoskinson to convert $100 million worth of ADA in the treasury into the Cardano-native supported stablecoin USDM. This proposal has multiple implications:

Enhanced ecosystem liquidity: Stablecoins are a crucial foundation for the development of DeFi. The proposal aims to increase the liquidity of stablecoins within the Cardano network, facilitating trading, market-making, and other activities within the ecosystem, increasing the total value locked (TVL) in the network, and promoting the development of decentralized financial operations.

Creating economic returns and capital circulation: This proposal includes a self-sustaining economic model, expected to achieve an annual return of 5%-10%. The returns will be used to purchase ADA from the open market and return it to the treasury, helping to reduce the circulating supply of ADA, expand the size of the treasury, provide ongoing support for the ecosystem, and form a virtuous cycle of capital.

Attracting investment institutions: If implemented, the proposal may attract large venture capital firms like a16z or Pantera Capital to join the Cardano ecosystem, bringing more funds and resources to the ecosystem, promoting its further development and growth.

Enhancing competitiveness: Stablecoins are an important asset class in the blockchain space, with Ethereum leading in stablecoin TVL. By enhancing its stablecoin-related layout, Cardano can improve its competitiveness in the DeFi space, better compete with other public chains, and attract more developers and users.

Exploring the balance between privacy and compliance: Cardano plans to launch a privacy stablecoin, leveraging technologies like zero-knowledge proofs to ensure transaction privacy while meeting regulatory requirements through 'selective disclosure and seasonal freeze systems,' providing new ideas for on-chain financial privacy protection and compliant development.