Stablecoins
● Active
Concept
Stablecoin
Stablecoins are cryptocurrencies designed to maintain a stable value, typically pegged to the US dollar. They exist in three main types: fiat-backed (USDT, USDC), crypto-backed (DAI), and algorithmic — the latter having a catastrophic track record including the $40B Terra collapse.
Terra / LUNA
LUNA
✕ Dead
Currency
Stablecoin
Terra was an algorithmic stablecoin protocol that spectacularly collapsed in May 2022, wiping out approximately $40 billion in value within days. Its UST stablecoin lost its peg and LUNA became worthless, triggering contagion across the entire crypto market.