The stablecoin carnage continues: the $HUSD drops sharply

Rarely has the term stability been so badly worn as in 2022 in the cryptomonetary industry. The $HUSD stablecoin, backed until recently by giant Huobi Global has – in turn – experienced a sudden stall a few hours ago.

O stable, O despair

After LUNA’s USD, NIRV, and a few days ago Acala Network’s AUST, stablecoins do not seem to have finished haunting the nights of crypto investors.

This time it’s the stablecoin $HUSD, originally backed by the crypto exchange Huobi which experienced a violent drop in its parity with the dollar, suddenly posting a loss of nearly 14%. Annoying for an asset whose primary quality is supposed to reside in its immovable stability.

The HUSD stablecoin depeg on Aug 18, 2022

However, if Huobi is indeed one of the initial supporters of the HUSD stablecoin, the platform announced last night that it had no longer been operationally invested in the project since April.

As the previous tweet indicates, the team in charge of the stablecoin HUSD made it known that they had to close accounts in certain areas for legal reasons. Due to the time difference, it is these operations that would have triggered the provisional depeg of the asset. At 07:00 French time, the HUSD seemed in any case to have recovered its equivalence with the dollar… until next time?

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