Introduction: A Stablecoin Built for Stability

Stablecoins are the backbone of stability in the volatile world of cryptocurrency. However, most stablecoins rely on a single issuer, creating risks tied to centralization, regulation, and liquidity constraints.

The Metal Dollar (XMD), developed by Metallicus, takes a different approach. Instead of relying on a single entity, XMD is pegged to a basket of trusted, non-algorithmic, bank-backed stablecoins. This diversified structure reduces risk, enhances reliability, and ensures stability across market fluctuations.

Governance of this basket is fully decentralized. Holders of the MTL token form the Metal DAO, which votes on which stablecoins should be included via the XPR Network governance dashboard: gov.xprnetwork.org/communities/4.

This ensures that only the most stable, liquid, and compliant assets back XMD.

Let’s take a closer look at the three stablecoins currently in the XMD basket: USDC, PYUSD, and USDP.

USDC (USD Coin)

✅ Launched: 2018
✅ Issuer: Circle
✅ Blockchain Support: Ethereum, Solana, XPR Network, Metal L2, Avalanche, and more
✅ Key Features: Regulatory compliance, strong institutional backing, audited reserves

USDC is one of the most widely used stablecoins, launched in 2018 by Circle in partnership with Coinbase through the Centre Consortium. Fully pegged 1:1 to the U.S. dollar, USDC’s reserves are held in segregated accounts with regulated financial institutions and undergo monthly audits by independent firms.

Its transparency, liquidity, and multi-chain support make it a cornerstone of the XMD basket. The Metal DAO voted to include USDC because of its proven track record and widespread adoption, ensuring Metal Dollar is built on a trusted foundation.

PYUSD (PayPal USD)

✅ Launched: 2023
✅ Issuer: PayPal & Paxos Trust
✅ Blockchain Support: Ethereum
✅ Key Features: Backed by U.S. Treasury securities, integrates with PayPal, monthly attestations

PYUSD, launched by PayPal in August 2023, is a regulated stablecoin issued by Paxos Trust Company. Designed to bridge traditional finance and crypto, PYUSD is backed by U.S. dollar deposits, U.S. Treasury securities, and cash equivalents, with Paxos providing monthly reserve attestations.

As a newer stablecoin, PYUSD brings mainstream accessibility to the Metal Dollar basket. The Metal DAO voted to include PYUSD, recognizing PayPal’s reach and credibility as a driving force for stablecoin adoption.

USDP (Pax Dollar)

✅ Launched: 2018
✅ Issuer: Paxos Trust Company
✅ Blockchain Support: Ethereum
✅ Key Features: Fully regulated, NYDFS-approved, backed by cash reserves

USDP, originally launched as Paxos Standard (PAX) in 2018, is a highly regulated stablecoin approved by the New York State Department of Financial Services (NYDFS). Like USDC and PYUSD, it is pegged 1:1 to the U.S. dollar and undergoes third-party audits to ensure full collateralization.

Despite having a smaller market cap than USDC, USDP’s strong compliance framework made it a logical choice for the XMD basket. The Metal DAO voted for USDP’s inclusion due to its regulatory clarity and secure asset backing.

Governance by Metal DAO

Unlike centralized stablecoins where a single entity makes decisions, Metal Dollar is governed by the community.

Holders of Metal (MTL) tokens form the Metal DAO, which votes on which stablecoins are included in the XMD basket via the XPR Network governance dashboard here gov.xprnetwork.org/communities/4

Key voting factors include:
✅ Stability & Market Trust – Does the stablecoin maintain a 1:1 peg?
✅ Regulatory Compliance – Is it fully backed and legally recognized?
✅ Liquidity & Adoption – Is it widely used across crypto markets?
✅ Transparency & Security – Does it provide independent audits?

Once voted in, stablecoins are dynamically weighted within XMD using a smart contract on the XPR Network, ensuring stability and adaptability over time.

The Future of Metal Dollar

Metal Dollar (XMD) stands out because it’s not tied to a single issuer. Instead, it is backed by a diversified basket of trusted stablecoins, including USDC, PYUSD, and USDP.

Why XMD is the future of stable digital transactions:
✔ More resilient than single-issuer stablecoins
✔ Decentralized governance via Metal DAO (MTL holders)
✔ Integrated into Metal X for seamless trading & transactions (more exchanges soon)
✔ Always evolving—new stablecoins can be voted in as needed

As the crypto landscape changes, Metal Dollar will continue adapting—ensuring it remains the best option for DeFi, payments, and stable trading.

Get started with XMD today!
🔗 Mint & Redeem: https://metaldollar.com
🔗 Trade on Metal X: https://metalx.com

🔗 Join the Community:
Telegram: https://t.me/metalpaysme
Discord: https://discord.gg/a4rhgtc9wH
Twitter: https://twitter.com/MetalDollarXMD