Not very stable list stablecoin was newly added as Polka dotDecentralized finance based onDeFi) on platform Acala, the aUSD stablecoin crashed 99% after hackers exploited a liquidity pool bug.
According to CoinGecko data, the stablecoin lost its dollar peg and plunged to $0.009 early Monday morning.
Various price tracking sites have provided conflicting reports on the US dollar price crash. CoinGecko shows the stablecoin continues to trade at $0.009, while CoinMarketCap hits a low of $0.58, indicating aUSD has climbed to $0.91, but has yet to regain its dollar peg. not.
Tweet Acala Network explained A “misconfiguration” of the newly launched iBTC/aUSD liquidity pool allowed hackers to mint 1.28 billion aUSD. The sudden influx of coins unpegged the stablecoin in just minutes.
iBTC is an inverse synthetic Bitcoin token that can be used on DeFi platforms and traded against USD on Acala.
Acala has suspended network trading after an emergency governance vote. The team began tracking on-chain and said,Accala incorrectly creates aUSD or swapped tokens from those aUSD that are not in Acala and returns them to the tweeted address.
Followed by Fudo Myoo Confirmed Bug fixed: “The misconfiguration was later fixed and the wallet address that received the miscreated aUSD was identified. ”
Acala’s native token, ACA, is currently trading at $0.27 per CoinMarketCap, down more than 6% on the day.
Stablecoin predicament
Acala’s aUSD joins the list of dramatically depegged stablecoins.
In May collapse Terra’s algorithmic stablecoin UST wiped out billions of dollars in value in a matter of days. Regulatory Notice from all over the world. Unlike UST, Acala’s aUSD is not an algorithmic stablecoin, but claims to be multi-collateralized and backed by assets such as DOT, KSM, ACA, KAR, BTC, and ETH.
Other Stablecoins, Including Hybrid Algorithm Stablecoins, Dropped from Dollar Pegs Amid Terra’s UST Implosion in May Day, currently trading at less than 20 cents. Even Tether, the world’s largest stablecoin, was not affected by the contagion. drop Drop to $0.95 before recovery.
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