Algorithmic Stablecoins After Terra: Why the Model Persists
TerraUST's $40 billion wipeout was a category failure, not a one-off. Every algorithmic stablecoin since has run the same death-spiral math, just with better branding.
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TerraUST's $40 billion wipeout was a category failure, not a one-off. Every algorithmic stablecoin since has run the same death-spiral math, just with better branding.
A coin is the native money of a blockchain; a token is an asset that lives on top of one. The distinction is small but it shapes risk, fees and behaviour.
Terra's UST stablecoin and LUNA token erased $60 billion in days. Here is how an algorithmic stablecoin death-spiralled, and what it taught crypto.
The move deepens a Tether-Ledn relationship that started with a strategic investment in November 2025, and turns a tokenized bullion asset into usable loan collateral on a book that has originated…
Two CoinDesk reads argue the plumbing of crypto matters more than the asset: forced June selling in BTC peaked near $68K, three days above the eventual $59,081 low.
Terra wiped out $40B in days. Six years later, only over-collateralized and basis-trade designs survive, and the seigniorage model still keeps failing.
Commodity perps are a strategic beachhead for Coinbase Derivatives, signalling intent to apply the perp engine beyond crypto while the US books quietly work toward 24/7 trading.
A crypto whale identified by the address 0xAFa5 deployed $7.15 million in USDC to acquire 1,515.5 XAUT tokens at $4,720…
Gold tokens like PAXG and XAUT track metal prices with no yield. T-bill tokens like BUIDL and OUSG pass through ~4-5% yield but add custodial and KYC layers. They're different tools, not rivals.
Coins run a blockchain, fungible tokens sit on one, and NFTs hold unique data. Fungibility, not the standard, is the property that splits them apart.
Most retail holders cannot redeem stablecoins directly with the issuer. The dollar price works only above minimums, and the rules vary by token, jurisdiction, and bank partner.
Backed 1:1 sounds reassuring. But tokenized gold is a chain of claims, not a bar in your hand, and the failure modes live in the seams.
Most stablecoins look identical on a surface. The difference is what's behind them, and that's exactly why some broke their peg while others didn't.
Meme coins are built on jokes and hype, not utility — and they're one of crypto's riskiest corners. Here's how they work and why caution is essential.
Attention is rotating off bleeding BTC and onto tokenization, stablecoins and AI infra. The trade isn't which coin, it's which plumbing.
Stablecoin issuance, lending flows, and Solana's expanding float point to real market plumbing, even as macro risk keeps speculation on a short leash.
Geopolitics punctured a fragile bounce, but the regulatory tape tells a deeper story about how Washington now frames digital assets.
Today’s headlines read less like a market and more like a civilisational stress test — a war economy, a ban posture in Delhi, a rulebook in Washington, and a stablecoin redrawing of money at the edges.
Stablecoins are the dollars of the crypto world — designed to hold steady value while moving at crypto speed. Here's how they work and where the risks hide.
USDe pays double-digit yield by going long spot crypto and shorting the same coin's perpetual futures. It works — until funding flips negative.