Holpop News

Tether co-founder and first CEO Reeve Collins said there was nothing surprising about Terra’s collapse and added that algorithmic stablcoins are unlikely to have any future.
“It’s too bad someone lost money, though, it shouldn’t have been a surprise. It’s a stable coin with algorithmic backing. It’s just a bunch of smart smart people getting together and trying to figure out how to tie something to the dollar. And a lot of people withdrew their money in the last few months because they realized the volatility of this instrument. So this situation has had a cascading effect. This will probably be the end for most algorithmic stablenecoins,” he said.
For his part, Circle CEO Jeremy Allaire said that UST represents a very risky foundation for stablocoin, but added that other people would still develop such assets.
“I compare algorithmic Stablecoin to the source of eternal youth or the Holy Grail. Others call it financial alchemy. There will still be financial alchemists working on the magic potion in search of the Holy Grail of stable value, algorithmic digital currency,” he noted.