Reeve Collins, one of the original creators of Tether (USDT), is preparing to re-enter the competitive stablecoin industry with a bold new project. His latest initiative, the Pi Protocol, introduces a new stablecoin to challenge existing players in the market. This innovative stablecoin aims to generate yield by leveraging tokenized real-world assets like bonds and treasuries, offering a fresh approach to stablecoin use and investment.
Slated for release on Ethereum and Solana in late 2025, the Pi Protocol aims to subvert USDC-dominant stablecoin players such as Tether and Circle. Unlike conventional fiat-backed stablecoins, Pi’s strategy will let users manufacture USP stablecoins in exchange for yield-bearing USI tokens, therefore generating a fresh path for passive income within the crypto ecosystem.
Key in stablecoin innovation is Collins, who co-founded Tether in 2014 before Bitfinex bought it. His most recent endeavor fits the rising trend of including distributed finance (DeFi) alongside conventional financial systems. Projects like Ethena’s sUSDe and Mountain Protocol’s USDM have already shown the promise of yield-bearing stablecoins, drawing investors looking for interest-earning substitutes to regular digital assets.
Comprising roughly $225 billion in circulation, the stablecoin market has expanded dramatically. Although Tether still holds more than 63% of the market, rivals like USDC and Ethena’s USDe are rapidly acquiring popularity. Pi Protocol wants to carve out its position by providing a distributed and yield-generating method of stablecoin acceptance.
Beyond stablecoins, Tether itself keeps pushing into artificial intelligence (AI) projects, including voice assistants, a Bitcoin wallet helper, and AI-powered translating. Pi Protocol’s entrance marks a change toward more creative financial solutions in the crypto realm as the stablecoin market develops.
Pi Protocol’s release could redefine stablecoin usefulness and provide consumers fresh approaches to interact with distributed finance as traditional stablecoins move into programmable, interest-earning digital dollars.
