Kava Network’s USDX tumbles to $0.65 as yet another stablecoin depegs By vishal4c
A likely explanation coming via Twitter from Kava Labs, the development team behind the stablecoin, is that USDX lost the peg because of its exposure to — an algorithmic stablecoin that recently collapsed. UST accounted for some of the collateral backing USDX, along other assets including kava, cosmos, wrapped bitcoin and ether.
As UST plummeted to $0.10, losing more than 90% of its value in a week, it caused collateral liquidations that dragged USDX along. The liquidations probably contributed to USDX dislocating from the one-dollar peg,Stuart claims USDX will return to the peg because it is not an algorithmic token like UST..has significantly de-pegged and has promulgated some risk to downstream protocols that use it," Stuart said, adding that the UST risk in Kava was isolated and could be tolerated.
Norge Siste Nytt, Norge Overskrifter
Similar News:Du kan også lese nyheter som ligner på denne som vi har samlet inn fra andre nyhetskilder.
Algorithmic Stablecoins: What They Are and How They Can Go Terribly WrongThe stunning meltdown of UST stablecoin and LUNA, its sister token, has many wondering about algorithmic stablecoins and how they are supposed to work. eking0x explains the crypto concept and what's happening now:
Les mer »
USDT-dollar peg wobbles as markets continue to struggle: Tether CTO weighs-inNot all stablecoins are the same. As fear caused by LUNA/UST spreads across the industry, Tether CTO Paulo Ardoino assures USDT holders that over 300 million tokens had been redeemed at their $1 peg over the past 24 hours.
Les mer »
Tether (USDT) Loses Peg As Mayhem in Stablecoin ContinuesTether (USDT) lost its dollar parity today following the recent drama with Terra's UST stablecoin.
Les mer »
Terra’s Crypto Meltdown Was InevitableAn epic crash in algorithmic stablecoins spells trouble for the entire industry.
Les mer »
'Failure Should Be an Option,' US Sen. Pat Toomey Says of UST Turmoil'It'll probably take some failures ... for the market to figure out what works,' SenToomey said of UST's de-pegging on Wednesday. jesseahamilton reports
Les mer »