At Thursday’s market end, the price of HUSD was $0.92, down 8%. The current price on decentralized exchanges vs USDC, USDT, and DAI was $0.85. Currently, the warning from Curve Finance reads, “The exchange rate is absurdly low!”
Stable Universal is actually the issuer of HUSD. The firm was sponsored by Huobi Capital, but in April of this year, Huobi divested its stakes.
However, the exchange claimed in a public tweet that it was aware of the stablecoin’s continued liquidity issues. It claimed that it will immediately collaborate with the HUSD issuer to “find a solution and restore its stability.”
It’s crucial to note that the cryptocurrency exchange FTX deleted HUSD from its selection of stablecoins with USD backing two weeks ago. Earlier, the blog article highlighted,
“Users will have the option to deposit and withdraw HUSD; doing so will influence their HUSD holdings, not their USD balances. Deposits in HUSD won’t be credited to USD accounts or utilized as collateral.”
The delinking follows the FTX announcement by two weeks.
Could this be a ‘rug pull’?
As for HUSD, the precise reason for its de-peg remains unclear. As a consequence of HUSD’s official Twitter page being silent on the topic, the community has begun to unjustifiably speculate that this may include a rug pull.
However, a few hours ago the official HUSD account @Stablecoin_HUSD issued the following statement in a tweet:
© 2024 Cryptopress. For informational purposes only, not offered as advice of any kind.
