**[Opinion: Stablecoins Are Not More Profitable Than Lending Markets]** According to a report by Jinse Finance, Lido strategic advisor Hasu responded to an X user's post claiming that "lending DEXs like AAVE and Fluid have sufficient advantages to issue stablecoins." Hasu stated that the idea that stablecoins are more profitable than lending markets is one of the biggest misconceptions in DeFi. Both lending markets and stablecoins operate by borrowing money from A and lending it to B, earning a spread in the process. Stablecoins do offer implicit convenience benefits, such as global transferability, but these benefits are limited to stablecoins with deep global liquidity and widely accepted networks, such as USDT and USDC. Everyone else is competing for the same scarce capital pools and increasingly needs to pay interest to lenders. For new stablecoins entering the market, there are essentially only two advantages—superior distribution (allowing you to borrow at lower costs) and superior ALM (allowing you to lend at higher rates). Which of these advantages do AAVE and Fluid possess?