Latest USDJ (USDJ) News Update

Deep Dive

1. @DeFi_JUST: Protocol shutdown deadline nears bearish

"Close positions or swap $USDJ for $USDD/USDT before August 31 to avoid liquidity risks"
– @DeFi_JUST (Official account · 6 Aug 2025 02:45 UTC)
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What this means: Bearish for USDJ as the protocol’s termination eliminates core utility, forcing holders into fire-sale conditions. The 1.33 price (33% premium to USD) suggests either redemption arbitrage or speculative gambling.

2. @KucoinIndia: Deposit freeze amplifies exit stress bearish

"KuCoin ने USDJ की डिपॉज़िट सेवा अस्थायी रूप से बंद कर दी है" (KuCoin temporarily suspends USDJ deposits)
– @KucoinIndia (1.2M followers · 25 Aug 2025 17:54 UTC)
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What this means: Bearish acceleration as major exchanges restrict access, compounding liquidity fears. With $2.67M daily volume and $12.55M market cap, forced selling could trigger cascading depegs.

3. @KucoinIndia: Dead-cat bounce sparks 199% rally mixed

"USDJ $3.5 (+199%) tops KuCoin gainers despite shutdown"
– @KucoinIndia (1.2M followers · 25 Aug 2025 17:50 UTC)
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What this means: Mixed signals as traders gamble on last-minute volatility. The pump to $3.50 (vs $1.33 current price) suggests either wash trading or misguided speculation about delayed sunset plans.

Conclusion

The consensus on USDJ is bearish amid its irreversible shutdown, though rogue price action shows crypto’s speculative extremes. Watch the $941K circulating supply – if holders can’t exit before August 31, the token risks becoming blockchain debris. Track swap volumes on JustLend DAO for exit liquidity clues.

Deep Dive

1. Protocol Sunset Finalized (31 August 2025)

Overview:
The USDJ protocol will terminate all operations on August 31, 2025, per multiple announcements from JUST DAO (@DeFi_JUST). Users must close collateralized debt positions (CDPs) or swap USDJ for alternatives like USDD, USDT, or USDC. Liquidity support ended on August 31, though conversions to TRX remain available temporarily.

What this means:
This is bearish for USDJ as its utility and peg stability dissolve. The $1.33 price (as of September 12, 2025) reflects speculative trading, not fundamentals, with market cap near zero. Post-shutdown, USDJ will float freely, disconnected from TRON’s DeFi infrastructure.

2. Exchange Delistings Accelerate (25 August 2025)

Overview:
KuCoin suspended USDJ deposits on August 25, 2025, following earlier delistings from JustLend and Poloniex. Liquidity has dwindled, with 24-hour volume at $2.68M and turnover (volume/market cap) at 21.4% – high volatility risk remains.

What this means:
Reduced exchange support amplifies exit challenges, potentially trapping remaining holders. The +31% 30-day price surge likely stems from low-float speculation, not organic demand.

3. Collateral Ratios Zeroed (29 June 2025)

Overview:
JUST DAO eliminated USDJ’s collateral utility on June 29, 2025, setting reserve ratios to 100% and collateral factors to 0%. This dismantled USDJ’s role in lending markets, redirecting users to USDD.

What this means:
The move accelerated USDJ’s obsolescence, aligning with TRON’s push for USDD adoption. With borrowing disabled, USDJ’s circulating supply dropped 99% since May 2025, per on-chain data.

Conclusion

USDJ’s phased shutdown reflects TRON’s strategic pivot to USDD, leaving holders navigating thin liquidity and speculative price moves. With protocol support ended, will off-ramps like TRX conversions sustain orderly exits, or could forced selling intensify volatility?

Deep Dive

1. CDP Function Termination (August 2025)

Overview:
The USDJ protocol will disable all Collateralized Debt Position (CDP) operations by August 31, 2025, preventing users from creating or modifying CDPs.

This marks the final phase of USDJ’s sunset plan, freezing core smart contract functionalities tied to minting and managing collateral. The codebase will lock price feeds to process remaining claims, while global settlement mechanisms will auction collateral assets.

What this means:
This is bearish for USDJ because it eliminates its core utility as a TRON-based stablecoin. Users must redeem collateral or swap USDJ for alternatives like USDD before liquidity dries up. (Source)

2. Parameter Adjustments (June 2025)

Overview:
Key risk parameters were updated in June 2025, including raising the stability fee (cost to repay CDP debt) and increasing liquidation ratios (collateral thresholds).

These changes, governed by JST token holders, were implemented via smart contract updates to discourage new USDJ generation and accelerate protocol wind-down.

What this means:
This is neutral for USDJ as it prioritizes system stability during the sunset process but raises costs for remaining CDP holders. (Source)

3. Supply/Borrow Disabling (May 2025)

Overview:
JustLend DAO suspended USDJ supply and borrowing in May 2025, reducing its collateral factor to 0% and reserve factor to 100% via governance votes.

The codebase modifications effectively froze USDJ’s role in DeFi lending markets, redirecting liquidity to newer stablecoins like USDD.

What this means:
This is bearish for USDJ because it severed its integration with TRON’s largest lending protocol, accelerating its obsolescence. (Source)

Conclusion

USDJ’s codebase updates reflect a controlled shutdown rather than active development, prioritizing user exits and risk mitigation. With key functionalities disabled and liquidity dwindling, how will remaining holders navigate the final weeks before August 31?

Deep Dive

1. Protocol Sunset (31 August 2025)

Overview:
The USDJ protocol officially ceased operations on August 31, 2025, as part of a community-approved wind-down plan (JUST DAO). This included terminating Collateralized Debt Position (CDP) functionalities, delisting from exchanges, and ending liquidity provisions.

What this means:
This is bearish for USDJ as it marks the end of its operational roadmap. The shutdown eliminates utility, likely accelerating price volatility and reducing demand.

2. Post-Sunset Asset Transition

Overview:
Post-sunset, USDJ holders must swap tokens for alternatives like USDD or USDT. JustLend DAO disabled USDJ borrowing/supply features in May 2025, and liquidity pools are no longer maintained.

What this means:
Neutral for the broader TRON ecosystem, as capital migrates to newer stablecoins like USDD. However, USDJ’s $1.32 price (as of 1 Sept 2025) faces depegging risks due to shrinking liquidity and exchange support.

Conclusion

USDJ’s roadmap culminated in its planned sunset, reflecting a strategic pivot toward USDD. With no further development planned, attention shifts to how residual liquidity and user migration will unfold. How will TRON’s DeFi ecosystem absorb USDJ’s legacy?