{"id":13671,"date":"2022-08-22T21:17:18","date_gmt":"2022-08-22T21:17:18","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/acala-community-okays-burning-billions-of-erroneously-minted-ausd-stablecoin\/"},"modified":"2022-08-22T21:17:18","modified_gmt":"2022-08-22T21:17:18","slug":"acala-community-okays-burning-billions-of-erroneously-minted-ausd-stablecoin","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/acala-community-okays-burning-billions-of-erroneously-minted-ausd-stablecoin\/","title":{"rendered":"Acala community okays burning billions of erroneously minted aUSD stablecoin"},"content":{"rendered":"<p><b>(Originally posted on : CoinJournal: Latest Bitcoin, Ethereum &amp; Crypto News )<\/b><br \/>\n<\/p>\n<div>\n<p>According to a <a href=\"https:\/\/medium.com\/acalanetwork\/updates-on-the-ausd-incident-22-august-2022-997efec98b35\">news post<\/a> by the co-founder of Acala Network, Bette Chen, the Acala community has voted to burn 2.97 billion Acala USD (aUSD) stablecoins.<\/p>\n<p>Acala is a scalable and Ethereum-compatible layer-1 smart contract platform built on Polkadot blockchain and it is the blockchain network that powers the aUSD stablecoin.<\/p>\n<h2>The aUSD stablecoin<\/h2>\n<p>aUSD is over-collateralized by several digital assets from the Kusama network and Polkadot ecosystem, with a deposit rate of 195% per every minted aUSD.<\/p>\n<h2>aUSD de-pegging<\/h2>\n<p>Last week, the price of aUSD de-pegged from its US dollar peg and dropped to below $0.01. The cause for the de-pegging was later found to be a sudden influx of the aUSD stablecoin supply caused by an erroneous minting.<\/p>\n<p>3.022 billion aUSD stablecoins were erroneously minted after the iBTC\/aUSD liquidity pool that went live on August 14 was misconfigured.<\/p>\n<p>The misconfiguration has however since been rectified and the wallet addresses that benefited from the erroneously minted aUSD identified through on-chain tracing. Thirty-five accounts were found to have received 12.38 million aUSD.<\/p>\n<p>More than 99% of the erroneously minted aUSD were then transferred to the Acala parachain. But some, approximately worth $9.69 million, had been swapped to DOT and moved to centralized crypto exchanges.<\/p>\n<p>The aUSD is currently trading at about $0.84 which is still below its dollar parity; meaning the erroneous minting is still affecting the system\u2019s equilibrium.<\/p>\n<\/div>\n<p><a href=\"https:\/\/coinjournal.net\/news\/acala-community-okays-burning-billions-of-erroneously-minted-ausd-stablecoin\/\">Source link <\/a><br \/>\n<br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Originally posted on : CoinJournal: Latest Bitcoin, Ethereum &amp; Crypto News ) According to a news post by the co-founder of Acala Network, Bette Chen, the Acala community has voted to burn 2.97 billion Acala USD (aUSD) stablecoins. Acala is a scalable and Ethereum-compatible layer-1 smart contract platform built on Polkadot blockchain and it is [&hellip;]<\/p>\n","protected":false},"author":7,"featured_media":13672,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[35],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/13671"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=13671"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/13671\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/13672"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=13671"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=13671"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=13671"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}