30% per year is quite large, and it is bigger than UST. that's why I started doubting this, since yesterday's UST issue I had a bad view on algorithmic stablecoins. plus Justin Sun's poor track record in the crypto space. made me think twice about trusting USDD. it is possible that what happened to UST will be repeated to USDD.
20% of UST seemed very high, then we saw 30% per annum for USDD, but KuCoin surpassed everyone and announced a promotion of 60% per annum for 7 days for USDD stake holders:
https://www.kucoin.com/news/en-usdd-high-profit-staking-enjoy-an-apr-of-60 In this case, the profit received in 7 days will be higher than what you will receive in 1 year in a traditional bank.
That is not possible, I mean not sustainable and it will never happen. Sure they could do something about the current situation if they really work hard and find people who are willing to pay premium for loans and not have high default rate and all that then it would make sense. But at the same time, there is a good case to be made about the 20% point because it is not really that bad at all, it doesn't sound to unsustainable.
In the crypto world, you could gain 20% per annum and that is not too much and could be sustainable. Pluskucoin is at a level where they have a ton of money and could do something that would be very profitable at the end.