Crypto Shaken as SVB Exposure Depegs $37 Billion Stablecoin
Will $USDC repeg or go to zero
Here's what I'll be doing moving forward ↓
Will $USDC repeg or go to zero
Here's what I'll be doing moving forward ↓
The second-largest stablecoin in crypto fell from its intended $1 peg on Saturday, trading as low as 81.5 cents, hurt by the exposure of issuer Circle Internet Financial Ltd. to the collapsed Silicon Valley Bank.
#USDC is a key plank of crypto markets and is supposed to hold a constant $1 value, fully backed by reserves of cash and short-dated Treasuries.
But $3.3 billion of that roughly $40 billion stockpile is with Silicon Valley Bank, which has just become one of the largest US bank failures in recent history
Regulators seized the bank on Friday and investors are awaiting more clarity on the return of deposits. In that vacuum, USDC fell below $1.
Currently, the chart isn't looking good but speculation is that on Monday when banks resume #USDC will repeg
The question is how many companies will fall alongside SVB failure
The question is how many companies will fall alongside SVB failure
Most stablecoins are currently trading below $1. The only thing looking strong is $USDT
Everything else looks pretty bad in my opinion.
Everything else looks pretty bad in my opinion.
For now, my plan is to go back into usdt and fiat while waiting to see what happens on Monday.
In my opinion, $USDC just can't go down if it does it's over for us all.
However, I'm still not taking chance here because as you already know this is crypto
The choice is yours
In my opinion, $USDC just can't go down if it does it's over for us all.
However, I'm still not taking chance here because as you already know this is crypto
The choice is yours
If you made it this far. Thank you for your time 🫡
Follow me @cyrilxbt for more educational threads like this.
If you learned something, please drop me a RT/like 👇
Follow me @cyrilxbt for more educational threads like this.
If you learned something, please drop me a RT/like 👇
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