The storm just stirred up in Washington has directly blown into the crypto world.

Recently, the new bill signed by Trump has sparked applause on Wall Street, but industry insiders see a different picture. The bill clearly requires mainstream stablecoin issuers to maintain 100% cash reserves and accept federal oversight – it sounds safe, but in reality, it equates to adding invisible surveillance to these centralized stablecoins. Although USDT and USDC have strong liquidity, once regulatory authorities take action, on-chain assets could be frozen in an instant, turning into meaningless numbers.

On-chain data has recently shown interesting signals. Those usually sharp-eyed large funds have not retreated to traditional finance, but instead are carrying out a grand reallocation. Their target is USDD—a choice that adheres to code governance and has no freezing mechanism. Why? Precisely because it breaks free from the constraints of traditional regulation, with asset sovereignty in the hands of smart contracts, and no one can unilaterally freeze your position.

The logic behind this is very clear: when centralized stablecoins face tightening regulations, decentralized alternatives become a new option to protect asset safety. On-chain data from the last two quarters shows that billions of dollars worth of funds are being exchanged through various channels. The market is voting with its actions—between asset sovereignty and financial freedom, more and more people are choosing the latter.