FDUSD Historical Price and Yield Analysis: Should I buy FDUSD now?

Summary

This article provides a comprehensive review of FDUSD (First Digital USD) since its inception, analyzing historical prices and market fluctuations, combined with data from various stages to evaluate the potential returns for investors purchasing 10 FDUSD. It also addresses the key question, “Should I buy FDUSD now?” to help both beginners and long-term investors grasp timing and growth opportunities.

Stablecoin Market and Early Stage: Historical Price Review (2023 to 2025)

FDUSD, a fiat-backed stablecoin, was launched in early 2023 with an initial trading price of approximately $1.0. As a stablecoin strictly adhering to custodial arrangements, FDUSD maintains its price stability by pegging 1:1 to the corresponding fiat currency. This mechanism ensures that the value of the held reserve assets matches or exceeds the total amount of outstanding stablecoins.

Below are the price changes of FDUSD since its launch:

2023 Year

• Opening Price: $1.0
• Closing Price: $0.9984
• Highest Price: $1.0
• Lowest Price: $0.9953
• Annual Return: -0.28%

2024 Year

• Opening Price: $0.9994
• Closing Price: $0.9982
• Highest Price: $1.0
• Lowest Price: $0.9972
• Annual Return: -0.12%

2025 Year (so far)

• Opening Price: $0.999
• Closing Price: $0.9989
• Highest Price: $0.9998
• Lowest Price: $0.9957
• Annual Return: -0.01%

An investor who purchased 10 FDUSD in 2023 and sells today would realize a potential gain of -$0.0232.

Value Characteristics of Stablecoins: Return and Risk Analysis (2023 to 2025)

As a fiat-backed stablecoin, FDUSD exhibits minimal price fluctuations, always hovering around the pegged price of $1.0. This extremely low volatility reflects the core design goal of stablecoins—to provide price stability rather than capital appreciation.

Potential returns for investors purchasing 10 FDUSD in different years are as follows:

• 2023: -$0.0232
• 2024: -$0.005
• 2025 (so far): -$0.001

Recent Market Cycle: Should I buy FDUSD now? (2023 to 2025 so far)

From its launch in 2023 through to 2025, FDUSD has maintained the characteristics of a stablecoin—its price remains close to $1.0, with deviations not exceeding 0.5%. This extremely low volatility ensures trading stability and accuracy, but also indicates that FDUSD is not suitable as an asset for capital appreciation.

The main value of FDUSD lies in reducing transaction costs, increasing the speed and accuracy of financial transactions, facilitating cross-border trade, and decreasing associated fees and processing times compared to traditional methods. Operating under strict custodial arrangements, FDUSD offers users a secure and stable digital dollar solution.

Summary: Investment Characteristics and Suitable Use Cases of Stablecoins

By analyzing FDUSD’s historical prices, we see that its design goal is to maintain price stability rather than capital growth. For investors seeking capital gains, FDUSD is not an appropriate choice; however, for users who need a stable, secure means of cross-border transactions and lower transaction costs, FDUSD provides a valuable solution. Therefore, the answer to “Should I buy FDUSD now?” depends on the use case—if for transaction settlement and value storage, FDUSD is an ideal choice; if for long-term capital appreciation, other asset classes should be considered.