Following the collapse of StableCoin on the Tera network, it is now the turn of the decentralized financing (DeFi) projects that have benefited from it to face a loss of 80%. However, traders’ demand for a decentralized Stable coin that could be used instead of the UST Stable Coin has boosted Dai, the MicroDao Stable Coin.
According to the Quin Telegraph, only yesterday the digital currency market was shaken by the collapse of Luna, Terra’s main digital currency, and its stable Quinn, with any project related to the Difa ecosystem experiencing a drop in prices. The effect of the sudden collapse of Terra’s digital currency and its stable coin has taken over the entire digital currency market, and therefore projects with the least connection to Difai’s ecosystem have also fallen in price.
However, the forced sale of Bitcoin stocks backed by this stable coin has pushed the price of the largest digital currency on the market to $ 26,000, and analysts are concerned that these Diffie platforms, whose liquidity pools are based on digital currency, are and StableCoin is a UST facing falling prices.
These types of tera-based projects that you really need to worry about include anchor protocol, astroport, and Mars protocol.
As shown in the chart above, these three items have lost more than 80% of their value since May 4, when the adjustment of the price of the digital currency began.
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These protocols are entirely focused on DeFi, which means that they are strongly integrated with the UST as a pillar of liquidity and the digital currency Terra as the main source of value locked in their smart contracts. Until UST and Luna recover their prices, there is little hope of improving these protocols.
Assets in the Kazmas ecosystem have also been hit by falling prices. Tokens such as ATOM, Mirror Protocol, OSMO, MIR and Kava, which use the communication protocol between the porcelain block IBC integrated with Tera, have also undergone major modifications.
Although the decline in the price of these assets was smaller than that of the assets maintained in the Protocol itself, they were also affected by the decline.
Producer of digital currency, but in the meantime proved successful. In light of recent events, many digital currency traders now see DAI as the best decentralized stable coin on the market.
Of course, the rise in the producer’s price did not last long and the price of this digital currency has already fallen to the range of $ 991.
In the midst of drastic price changes, and while the market has not yet mastered the current reforms and news of falling prices is appearing fast, we need to see how other stable coin protocols like USDD, Frax Share and mStable work and whether their prices are the same. Contrary to their inherent philosophy, will they change or not? Of course, these projects are mainly used in centralized applications.
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