AUSD ' the stablecoin of Polkadot' took a dive just minutes ago, dropping as low as 0.77 cents on the coin's native platform, and 0.79 on KuCoin, the exchange with the highest volume usage of the coin home of the decentralized stablecoin of Polkadot
The company tweeted: We have noticed a configuration issue of the Honzon protocol which affects aUSD. We are passing an urgent vote to pause operations on Acala, while we investigate and mitigate the issue. We will report back as we return to normal network operation.
However, users on the projects official discord are claiming this was hack, pointing to this wallet that is holding over $1 billion in AUSD. https://acala.subscan.io/account/26JmEcghNmggvT46sojckg34Py9zFRKkCcFy3gr49hrFgT2k
Created by the Acala Network, AUSD stablecoin is not algorithmic, it is backed by collateral across a variety of blockchains and include DOT, KSM, ACA, KAR, BTC, and ETH.
So while we're not sure what exactly is happening, it is NOT the Terra UST/Luna situation repeating itself.
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Author: Mark Pippen
London News Desk
Breaking Crypto News
