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The Decline of USDT in the Stable Currency Exchange Agreement Curve

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On March 11, it was reported that the proportion of USDT in the 3-pool of the stable currency exchange agreement Curve fell to 1.9%, leaving only 8.3 million, …

The Decline of USDT in the Stable Currency Exchange Agreement Curve

On March 11, it was reported that the proportion of USDT in the 3-pool of the stable currency exchange agreement Curve fell to 1.9%, leaving only 8.3 million, due to the influence of Circle’s announcement that it had $3.3 billion of reserves in the bankrupt bank Silicon Valley Bank. Users chose to exchange USDC and DAI (part of the collateral was USDC) for USDT. At present, the USDC/USDT has dropped to 0.93 in Curve exchange.

The proportion of stable currency in Curve 3Pool is seriously skewed, and the USDC USDT has dropped to 0.93

Analysis based on this information:


Recently, it was reported that the proportion of USD Tether (USDT) has significantly declined in the 3-pool of the stable currency exchange agreement Curve. The decline occurred due to the announcement made by Circle, stating that the company had $3.3 billion in reserves in the bankrupt bank of Silicon Valley. This news fueled panic and uncertainty among users, leading them to exchange their USDC and DAI for USDT. As a result, the USDT proportion in the 3-pool fell to 1.9%, leaving only 8.3 million.

In a bid to safeguard their investments, users chose to exchange their USDC and DAI, which were partly collateralized by USDC, for USDT. The sudden shift in currency preference led to a decline in the USDT proportion in the 3-pool of the stable currency exchange agreement Curve. This decline has created a ripple effect in the exchange industry, with many speculating that it could lead to further decline and instability.

Currently, the USDC/USDT has dropped to 0.93 in Curve exchange, a signal that the market is losing confidence in USDT. Recent reports have revealed that USDT has been experiencing a persistent issuance of new tokens in a bid to increase liquidity. This act has raised concerns among investors about the level of transparency and accountability of Tether Limited, the company issuing USDT tokens.

The decline in USDT proportion in the stable currency exchange agreement Curve could have substantial repercussions on the broader cryptocurrency industry. It raises questions about the long-term stability of cryptocurrencies and their ability to replace conventional fiat currencies. The declining confidence in USDT and other cryptocurrencies underscores the need for stringent regulations to promote transparency, accountability and limit the possibility of fraud and manipulation.

In conclusion, the declining USDT proportion in the stable currency exchange agreement Curve underscores the fragility of the cryptocurrency industry. It highlights concerns about the transparency of cryptocurrency issuers and the urgent need for regulation. The market volatility caused by the decline raises concern about the long-term viability of cryptocurrencies and their ability to replace traditional fiat currencies.

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