Another stablecoin fell below the $ 1 peg on Saturday, June 18th during the crypto market genocide this weekend. This is because a crypto asset called Magic Internet Money (MIM) has temporarily dropped to a low of $ 0.914 per unit. The decline in the value of Stablecoin issued by Abra Cadabra follows last week’s recent Terrausd (UST) failure and USDD’s recent volatility.
Stablecoin Magic Internet Money loses $ 1 parity, but regains power after falling to $ 0.91
In mid-May 2022, Stablecoin, an algorithm called terrausd (UST) worldwide, deviated from the $ 1 parity and fell below the penny. In fact, due to the failure of UST, the entire Terra blockchain ecosystem of tokens has disappeared until it is almost worthless.
Last week, Bitcoin.com News reported on Tron’s algorithmic stablecoin USDD and how it fell to a low of $ 0.95 per unit. Tron Reserve DAO has added a significant amount of reserves such as USDC and TRX to maintain an overcollage of tokens.
Despite the addition of funds, the USDD fell to a low of $ 0.948 per unit on June 18, and crypto tokens are currently being exchanged for $ 0.964 at the time of writing at 6:05 pm (ET). increase.
On the same day, Stablecoin Magic Internet Money (MIM) issued by Abracadabra also fell below the $ 1 parity of assets to a low of $ 0.914 per unit. By using the protocol Abracadabra.money, users have created MIMs with additional collateral and currently 197,674,194 MIMs are in circulation.
MIM is used in various blockchains such as Ethereum, Fantom, BSC and Avalanche. Despite falling to $ 0.91, MIM rebounded on Saturday at 6:05 pm (ET), trading at $ 0.992 per unit. Below $ 1 parity, MIM received a lot of attention during the day.MIM DepegWas a trend theme on social media.One Twitter account the day before Said The MIM said, “We were (still) trying to depeg with a 95.8% liquidity imbalance. There is only $ 6 million in liquidity left in the pool.”
Abra Kadabra dispels rumors of bankruptcy and deals with bankruptcy cases
In addition, Abracadabra has published a blog post dealing with “a large number of fake Twitter threads.” Abra Cadabra said the misinformation “created extreme volatility affecting the liquidity of the MIM pegs and MIM-3 pools in curve finance.”
“One of the core elements of FUD revolves around the financial structure of Abra Kadabra,” said Abra Kadabra’s blog post. “Our Ministry of Finance, which does not include SPELL tokens, currently owns over $ 13.2 million in assets (at the time of writing). About half of our finances are in MIM Stablecoin and the other half are us. It is in the CRV token, which is a basic asset held by. ”The blog post for the Decentralized Finance (defi) project added:
If you are looking for the exact amount, the Treasury holds 6,619,923.5 MIM and 10,380,153.06 CRV tokens.
Abracadabra’s blog post also asks people with loan balances to repay their balance when the pegs are low, in order to rebalance the MIM-3 pool.
“While writing this post, the condition of the curve pool continues to improve and I’m fully hoping that the MIM pegs will be restored soon. In addition, more about when and how repayments will be made. We will share a detailed set of dates, “concludes the Abracadabra blog post.
In addition to USDD and MIM, stablecoin neutrino USD (USDN) has recently been volatile and below $ 1 parity. It was trading at $ 1 at 6:05 pm (ET), but early Saturday the USDN fell to $ 0.931 per unit.
What do you think about Stablecoin Magic Internet Money (MIM) depegging on Saturday? What do you think of Abracadabra’s blog post statement? Please let us know what you think about this subject in the comments section below.
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