Justin Tron’s Stablecoin USDD Diverges from Parity at $1, Fears of a Luna Fate Set in!

Amid USDD’s drop in value, Tron founder Justin Sun tweeted that his team was “invest more capital“, and stablecoin’s usdd.io web portal claims the project is oversecured by 200.8% at the time of writing.

Justin Sun tells “guys“crypto to stay”stable” as the USDD team injects more capital.

Tron USDD stablecoin is the eighth largest dollar-denominated token and it is ranked 57 in terms of largest market capitalization among thousands of cryptoassets. On Monday, the Tron stablecoin fell to $0.969 per token around 02:51 (ET), and around 8 USDD traded at $0.979 per unit. When the Tron stablecoin fell in fiat value, Tron founder Justin Sun assured the public that USDD was an overcollateralized stablecoin by sharing the usdd.io URL.

Dedicated stablecoin web portal Tron claims that USDD is overleveraged by 200.8% as of 8:00 a.m. (ET) on December 12. “In case anyone is wondering [USDD]the loan-to-value ratio is 200% on usdd.io ” said Justin Sun. “You can check all data live on blockchain 24*7“, added the founder of Tron. Following this statement, Justin Sun tweeted another comment which was once said of Terra co-founder Do Kwon when UST was losing its grip. Justin Sun wrote:

Put in more capital – regular guys.

This is not the first time USDD has broken below $1, as the stablecoin broke below $1 on November 10, 2022, the day before FTX filed for bankruptcy protection on November 11. On November 10, USDD fell as low as $0.976 per unit and returned to the $0.99 range on November 18 around 1 p.m. ET.

Tron’s USDD stablecoin on December 12, 2022.

Tron’s stablecoin USDD sank even lower on June 19, 2022, when it fell to $0.928 per unit six months ago. From the first week of July, it regained the $1 parity until November 7, 2022, when it began to diverge again.

Interestingly, the Tron stablecoin hit an all-time high just over a month ago when it hit $1.04 per coin. -hours global trading volume of $79 million.

The supply of stablecoin has increased by 0.2% over the past 30 days. Since June 3, 2022, the market value of USDD has increased by 6.6%, from $667 million to $711 million today. Tron’s stablecoin is listed on a myriad of centralized and decentralized exchanges, with Huobi being the most active exchange on December 12.

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