Waves planning to launch new stablecoin amid USDN crisis
Waves-backed stablecoin Neutrino USD (USDN) lost its dollar peg and is currently trading at $0.5411.
The new stablecoin will be undepeggable.
A USDN situation resolution plan will be set in motion before the launch of the new stablecoin.
Just days after the Waves-backed stablecoin Neutrino USD (USDN) lost its dollar peg, Waves CEO and founder, Sasha Ivanov, has promised he is going to launch a new “undepeggable” stablecoin.
Ivanov made the revelations via a tweet today where he also announced a USDN situation resolution plan. Ivanov’s tweet read:
“I will launch a new stablecoin,” Waves founder wrote, adding that there is going to be a “USDN situation resolution plan set in motion before.”
Besides stressing that the new stablecoin will be undepeggable, the CEO stressed that the new stablecoin will not be launched until the USDN plan resolution is set in motion.
Neutrino USD stablecoin crisis
The Neutrino USD is an algorithmic stablecoin collateralized by Waves and pegged to the US dollar. In the past few days, the stablecoin has been struggling to maintain its 1:1 peg which it has lost by more than 45% by today.
It is important to note that the current USDN de-pegging is not the first since it saw the first major de-pegging in early April 2022 and has seen several other subsequent de-pegging.
Interestingly, the USDN de-pegging comes at a time when the WAVES token is seeing a significant price drop after the South Korean crypto exchange the Digital Asset eXchange Alliance (DAXA) issued a warning on WAVES on December 8. The stablecoin has failed to regain its dollar peg despite Waves pointing to misinformation being dismantled by centralized exchanges and saying that “no fundamental distress being present in the Waves Ecosystem.”