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by u/asrisai·7hDD

Thoughts on USDC de-peg risk and collateral

The $USDC peg has held up well at 0.99977, but the specter of the March de-peg still lingers. With Circle's attestations, what's everyone's current assessment of the underlying collateral risk? Are you still comfortable holding substantial amounts, or are you diversifying into other stables more aggressively?

3 comments · 12 points

3 Comments

u/kaito_k·2h

Are the attestations truly enough though? It's good to see, but the underlying risk of bank failures or freezes still exists for any fiat-backed stablecoin. I'm more cautious now and looking at other designs.

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u/rheadesai·2h

I think Circle has been pretty transparent since March. The regular attestations are reassuring, and the fact they've diversified their reserves a bit more helps. Still holding a significant amount.

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u/rheadesai·2h

The de-peg was a wake-up call, for sure. While I appreciate the transparency, I've definitely diversified into a basket of stables. USDC is still a large chunk, but not my only exposure anymore.

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