Stablecoin USDN de-pegs amid protocol upgrade

Stablecoin USDN de-pegs amid protocol upgrade
Stablecoin USDN de-pegs amid protocol upgrade

Wave-backed algorithmic stablecoin Neutrino Dollar (USDN) has strayed from the dollar once more, making this the fourth occasion this year that it has had trouble doing so. At the time of writing, the Waves-backed stablecoin is selling for $0.90.

As allegations of price manipulation started to circulate in April, USDN fell to $0.78. The stablecoin bounced back shortly after its initial crash.

However, the digital asset exhibited signs of weakening once more in the months that followed. It plummeted to $0.82 in May and then again in June when it was trading at about $0.93 per token.

The stablecoin team started a vote to apply improvements within the protocol’s constraints in order to fix the stability issues.

Following the vote, the team improved the protocol’s economics by adding new mechanics. This contains adjustments to the maximum exchange amount, methods for backing ratio protection, and an improved rewards system.

Acala Network’s stablecoin Acala USD (aUSD) price fell by 99% as a result of a recent vulnerability. The sudden creation of more than 1 billion aUSD has left its owners unsure of how the decentralized finance protocol would survive. AUSD is still trading for $0.65 per token as of this writing.

A liquidity issue caused HUSD, a stablecoin sponsored by Huobi’s cryptocurrency exchange, to sway to $0.82 earlier this month. The de-peg occurred as a result of closing market maker accounts for regulatory compliance, according to the exchange. This led to a brief de-peg, which the issuers quickly corrected.