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0 sats \ 5 replies \ @cryptocoin OP 5 Apr 2022 \ parent \ on: Algorithmic Stablecoin Neutrino USD is on the Brink of Failure | Blockworks bitcoin

An article from The Block:

Just because we don’t like that a party took a big short position doesn’t mean we should change the protocol to target them back,”

Voting on the proposal begins on April 5 and will last five days.

"Someone will make a lot of money off of it. and it's not us, of course.”

Drama erupts around the Waves blockchain project and trading firm Alameda https://www.theblockcrypto.com/post/140475/drama-erupts-around-the-waves-blockchain-project-and-trading-firm-alameda https://archive.ph/XTlUX <-- An archive, may be easier to read.

0 sats \ 3 replies \ @cryptocoin OP 5 Apr 2022

An article on Decrypt:

Like Ethereum, Waves is a layer-1 blockchain that features smart contracts and allows people to launch their own decentralized applications and associated tokens. Akin to Terra, its most popular feature has been its own algorithmic stablecoin—USD Neutrino, which is backed by Waves.

According to Ivanov, the scheme works by borrowing massive amounts via Waves-based lending protocol Vires Finance, then selling it off while spreading "FUD" (fear, uncertainty and doubt), thereby pushing the price down.

Waves Is Taking Crypto Traders on a Wild Ride. Here's What You Need to Know https://decrypt.co/96890/waves-taking-crypto-traders-wild-ride-what-you-need-know https://archive.ph/T9UKa <-- An archive, which can be easier to read.

0 sats \ 1 reply \ @cryptocoin OP 5 Apr 2022

And on CoinDesk:

Users need to lock in WAVES in Neutrino's smart contracts to mint USDN, while USDN redemptions have the opposite effect of destroying the stablecoin to unlock WAVES supply.

According to data source Defi Llama, the total value locked in the DeFi platform [vires.finance] has dropped to $945 million from a record $1.26 billion in three days.

Waves' USDN Stablecoin Loses Peg, Drops 15% Amid Manipulation Scare https://www.coindesk.com/markets/2022/04/04/waves-usdn-stablecoin-loses-peg-drops-15-amid-manipulation-scare https://archive.ph/ckmNW <-- An archive, which may be easier to read.