UST breaks its peg and Terra fails
A stablecoin that held its one-dollar peg through a mint-and-burn mechanism rather than reserves lost that peg; the token bound to it was hyperinflated, and the whole chain failed.
Watch it happen in “The Mechanism Breaks” →Why it happened
- 01挂钩没有外部储备支撑，全部依赖与另一种代币的双向兑换。
- 02大额抛售使兑换关系失衡，机制开始反向运转。
- 03增发越多，被增发的代币越不值钱，越不值钱就需要增发更多。
Before · After
Before
Algorithmic stablecoins were seen as an efficiency gain that removed the need for collateral.
After
The approach was falsified in practice, and mainstream stablecoins went back to collateral.
Why it matters
A promise with no reserves behind it is not cheaper — it fails faster. Sterling held for a day in 1992; this held for three.
Related entities
Sources
- Level AUST 脱锚与 Terra 网络停止出块
Unverified · Terra Classic 链上区块与铸销记录；另有多家监管机构其后的调查文件可对照。