The Stablecoin L1 Trap and What Fantom Collapse Teaches Us

Fantom, Avalanche, and Near saw billions in TVL vanish in months. Their failures show why chains collapse and why stablecoin issuers risk repeating the same mistakes. Stablecoin L1s face an even greater challenge: the moment USDC or PYUSD becomes tied to a single chain, they stop being money and start being loyalty tokens. The real opportunity is not in owning rails but in building the…