The root cause of USD1 being unanchored by Fud is that many people are not familiar with custodial stablecoins, including the most trusted USDC, which operates by qualified users/institutions depositing US dollars into compliant issuers' reserve accounts and then minting the corresponding amount of stablecoins on the chain. For example, behind USDC is Circle, and behind USD1 is BitGo. There is no difference in principle and mechanism, and the trust of the market is basically based on brand endorsement. Transparency relies on timely disclosure of reserve reports, while wrongdoing relies on regulatory constraints. If you do not accept this qualified custody+regular certification method, theoretically USDC is also unsafe. However, with the GENIUS Act stablecoin law, compliance regulation is improving, and this stablecoin will become the mainstream in the market in the future.