Traditional Hedge Funds Are Shorting Tether. Can They Bring It Down?

According to reports, traditional hedge funds have begun shorting Tether, the world’s biggest stablecoin by market capitalization and transaction volume. Leon Marshall, head of institutional sales at Genesis – a market maker, told the Wall Street Journal that interest from traditional hedge funds in shorting Tether has spiked in recent weeks. There are two reasons for this. First, they believe that the broader macroeconomic slump … Continue reading Traditional Hedge Funds Are Shorting Tether. Can They Bring It Down?

CBDCs Will Drive The Future Monetary System: BIS Report

There goes the dream of decentralization. Bitcoin enthusiasts have railed against central banks since the cryptocurrency was introduced to the world in the aftermath of a global financial crisis, widely blamed on central bank policymaking. But digital currencies issued by central banks, also known as Central Bank Digital Currencies (CBDCs), are at the center of a future monetary system in a report released by the … Continue reading CBDCs Will Drive The Future Monetary System: BIS Report

Will Tether, Crypto’s Biggest Stablecoin, Be Its Next Casualty?

UST. Celsius. Three Arrows Capital. The list of crypto’s casualties in the current downturn is growing by the day. There’s more bad news ahead. Experts say that the crypto ecosystem is due another capitulation event. “Some giant player will go to zero [soon],” Shark tank personality and crypto investor Kevin O’Leary told Coindesk recently. The chances it might be Tether, the world’s biggest stablecoin, are … Continue reading Will Tether, Crypto’s Biggest Stablecoin, Be Its Next Casualty?

Terra’s LUNA Jumps On Debut, Then Crashes

Terra blockchain’s new token LUNA seems to be a chip off the old block. Within hours of debuting this past Friday, the token’s price shot up by 47% to a peak of $19.53. It crashed soon after and reached a low of $3.98 on the same day based on data from Coinmarketcap. As of this writing, it has recovered to trade at $9.16. According to … Continue reading Terra’s LUNA Jumps On Debut, Then Crashes

What Happened to Investors During The UST Crash?

The crash of algorithmic stablecoin UST continues to be a head spinning mess. Many big investors in the Terra blockchain and its native currency Luna claim to have cashed out of their holdings, some for a striking profit. But there doesn’t seem to be much respite for retail investors in the token. Luna, the underlying token responsible for maintaining UST’s peg, is practically worthless. Even … Continue reading What Happened to Investors During The UST Crash?

In The Aftermath of stablecoin UST’s Collapse

It’s yesterday once more in cryptoland. The dizzying rise and rapid fall of algorithmic stablecoin TerraUSD’s (UST) demise brings to mind the initial coin offering (ICO) frenzy of 2017. Back then, all you needed to raise funds from investors was a whitepaper and a generous marketing budget to hype the offering. With the media and crypto enthusiasts cheering on, investors poured money into the empty … Continue reading In The Aftermath of stablecoin UST’s Collapse

Stablecoin Terra’s Peg Continues to Unravel

The unraveling of stablecoin TerraUSD’s (UST) peg to the US dollar continues unabated. As of this writing, it is trading at $0.40, down 23.7% from its price 24 hours ago, according to data from Coinbase. That figure is a far way off from its $1 peg to the US dollar but still represents an improvement from trading lows of 23 cents to the dollar on … Continue reading Stablecoin Terra’s Peg Continues to Unravel

Terra And The Freestanding Algorithmic Stablecoin

A successful algorithmic stablecoin is the Internet equivalent of a freestanding dollar, a currency cut off from its peg to the gold standard. Recent advances in technology and cryptography make the idea sound deceptively simple. Practical implementation, however, remains elusive. Many attempts at creating algorithmic stablecoins have failed in the past. TerraUSD (UST) is the latest example of one such coin teetering on the brink … Continue reading Terra And The Freestanding Algorithmic Stablecoin

Terra Continues Free Fall, Repegging In The Works

Will TerraUSD (UST) become the latest stablecoin to fail? That might be the most important question on the minds of investors in the stablecoin. Terra’s price, which was inching upwards towards its 1:1 peg with the US dollar yesterday, crashed to 26 cents Wednesday morning. Traders also sold off their holdings of Luna – the underlying token responsible for maintaining Terra’s price peg, crashing its … Continue reading Terra Continues Free Fall, Repegging In The Works