From Oracle risk to DeFi scaling with LINE users, this new article looks at what it really takes to make native USDT work on Kaia. It is a foundational read for builders.
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This is a big move, native USDT with oracle risk mitigation + LINE integration is huge for real DeFi use. Not just infra, but actual adoption potential. Big things could come from this. 
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I’m curious—why not just use bridged USDT like on other chains? What’s the point of making it native on Kaia?
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Great question!
The main difference comes down to security and trust. Bridged USDT relies on third-party bridges, while native USDT on Kaia is issued directly through an official partnership, no external bridges involved. That makes it safer, more efficient, and deeply integrated into Kaia’s ecosystem 
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This is a significant step in ensuring Kaia global users can make cheaper and faster payments via onramp or offramp infrastructures and more.
@sean.lin However, It will be very important to address the technical challenges highlighted in the article and solve them by seeing that Dragonswap fork and integrate the Uniswap V4 Hook innovation.
Here is how I think Dragonswap forking and integrating the current Uniswap V4 Hook innovation could solve the challenges:
- Solving Peg stability and and Liquidity fragmentation.
- Maintaining USDT peg during volatility using Hooks. A customized dex or amm can be built to dis-incentivize during volatility via dynamic fee structure.
- Or enabling protocol-controlled arbitrage mechanisms (similar to Curve’s PSM).
- MEV Mitigation.
- Custom Hooks for MEV resistance can be built to equally address this.
- Advanced DeFi protocols can also be built to create more opportunities on Kaia.
This is just a summary to the possibilities of Hooks and I think the Kaia Dragonswap that relies on the CFAMM algorithm similar to the Uniswap protocol would help Kaia address the technical hurdles attached to the USDT integration.
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