TUSD Says Recent Depegging is Related to Binance Launchpool Activities
TrueUSD (TUSD) has clarified that the recent depegging of its value from the US dollar is associated with activities on Binance Launchpool.
In a recent post on X (formerly Twitter), the TUSD team said they “have observed recent community mining activities associated with Binance Launchpool, which have led to short-term arbitrage opportunities.”
The team added that these activities are considered normal within market dynamics and liquidity adjustments.
Furthermore, TUSD reassured users that their redemption channels, involving global banks, are functioning smoothly as always, ensuring seamless transactions.
“We are dedicated to further broadening our collaboration with Binance. Additionally, TUSD minting and redemption services are always accessible at http://tusd.io.”
We are dedicated to further broadening our collaboration with Binance. Additionally, TUSD minting and redemption services are always accessible at https://t.co/OsPDK9pKbq.
— TrueUSD (@tusdio) January 18, 2024
TUSD is the first USD-pegged stablecoin to deploy daily attestations for its underlying reserves.
The recent depegging incident occurred on January 15 when TrueUSD temporarily fell below its U.S. dollar peg.
Data from Binance revealed that users sold approximately $238.3 million worth of TrueUSD via the TUSD-USDT trading pair within 24 hours, with a net outflow of around $154.5 million.
However, traders also purchased around $83.8 million worth of TrueUSD during the same period.
Earlier reports on January 10 suggested that TrueUSD had paused its real-time attestations of reserves, leading to speculation regarding the company’s ability to collateralize the tokens.
The company later clarified that the incident was due to internal errors and announced a full upgrade
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