Re: What happening with USDC?

Quote from: jossiel on Today at 09:29:07 AM

Quote from: AllYourBitcoinRBelong2Us on Today at 07:21:36 AM

Not really sure how all these stable coins work but how did a stable coin that is supposed to be equal to one US Dollar go down in price? Huh

USDC is made by Circle.

Circle has $3.3B deposits in Silvergate bank.

Silvergate bank files forced liquidation and that means a lot for Circle and mostly affecting USDC.

See news: Crypto bank Silvergate announces liquidation amid sector turmoil

Just like the collapse of UST and Luna, that means a lot to the market which affects the entire whole crypto market but I don't think that USDC will be ending the same as UST/USTC. And whenever there's sort of news like this, the involved crypto whether it's a stable coin or an alt coin, it's always been affected and getting a lot of dumps which results to its value goes down.

USDC has nothing to do with UST; it won't have the same fate. However, this is denting trust in cryptocurrencies, especially stablecoins. Do you believe that the USDC will recover? We are already seeing other stablecoins depegging; even BUSD has suffered losses, though minimal, and it's still below $1. DAI has also suffered a major decline, dropping to $0.93. This doesn't look too optimistic, and it may cause another huge crash in the market. This may also cause the end of stablecoin staking.