I don't post much that is bearish on crypto because by and large it's FUD. However, this isn't FUD. This is really sad because many people (approx 16 billion supply) put their life savings into the UST "stablecoin". The native token Luna, a top 10 coin, is down 98% in 2 days and UST has completely lost it's peg to the dollar and currently trading for 33 cents. Personally, I have always been bearish on algo stablecoins because of the potential for this kind of failure. Someone in one of my crypto groups already mentioned of a known suicide because of this. This is where regulation is welcome. Not to stifle the innovation of the space, but to ensure people who participate understand the risks.
UST, a so-called stablecoin that's meant to maintain a $1 peg, was trading at less than 40 cents Wednesday.www.cnbc.com
Agree. I've only been active in Crypto for about 5 long months, but to me, stable coins have no advantage over a traditional fiat savings account and a bunch of additional risks. Never understood people that kept value in them, I would only see them useful for a funds transfer mechanism.