{"id":15914,"date":"2022-12-28T16:38:25","date_gmt":"2022-12-28T16:38:25","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/the-stablecoin-economy-shed-28-billion-in-2022-after-a-handful-of-tokens-lost-their-1-peg-altcoins-bitcoin-news\/"},"modified":"2022-12-28T16:38:25","modified_gmt":"2022-12-28T16:38:25","slug":"the-stablecoin-economy-shed-28-billion-in-2022-after-a-handful-of-tokens-lost-their-1-peg-altcoins-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/the-stablecoin-economy-shed-28-billion-in-2022-after-a-handful-of-tokens-lost-their-1-peg-altcoins-bitcoin-news\/","title":{"rendered":"The Stablecoin Economy Shed $28 Billion in 2022 After a Handful of Tokens Lost Their $1 Peg \u2013 Altcoins Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
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2022 has been an interesting year for stablecoin assets as the market capitalization of the entire stablecoin economy lost just over $28 billion in value. Moreover, more than $3 billion has been erased from the stablecoin economy during the last 23 days as BUSD shed roughly 23.3% during the last month.<\/strong><\/p>\n

Over $3 Billion in USD Value Has Been Erased From the Stablecoin Economy in 23 Days<\/h2>\n

The market valuation of stablecoins has continued to slide and since Jan. 2022, $28.08 billion in U.S. dollar value has left the stablecoin economy. Archived data indicates that the stablecoin economy was valued at $167.08 billion<\/a> on Jan. 5, 2022, and today it\u2019s valued at $139.06 billion<\/a> or 16.77% lower than the first week of the year.<\/p>\n

\"The<\/p>\n

The stablecoin economy has not been this low in U.S. dollar value since Oct. 23, 2021,<\/a> or around 14 months ago. In Jan. 2022, tether (USDT<\/a>) had a market capitalization of around $77.14 billion, and today it\u2019s down to $66.25 billion.<\/p>\n

\"The<\/p>\n

Usd coin\u2019s (USDC) valuation 14 months ago was $42.74 billion and this week USDC\u2019s market cap is roughly $44.28 billion. BUSD\u2019s market cap was $14.28 billion on Jan. 5, 2022, and terrausd\u2019s (UST) market valuation was roughly $10.19 billion.<\/p>\n

On Dec. 28, 2022, BUSD\u2019s market cap is higher at $17.16 billion, but UST\u2019s valuation was obliterated down to the current $215 million<\/a>. UST was one of many stablecoins that depegged from the U.S. dollar this year.<\/p>\n

This month alone the stablecoin economy shed $3.08 billion in value as it slid from $142.07 billion<\/a> to the current $138.99 billion. On Dec. 5, 2022, BUSD had a market cap of around $22.08 billion which is more than 22% higher than the current $17.16 billion.<\/p>\n

356 days ago on Jan. 5, Makerdao\u2019s DAI stablecoin had a market valuation of around $9.07 billion, which is 43.55% higher than DAI\u2019s current $5.12 billion value. Below the stablecoin DAI are the dollar-pegged tokens frax, pax dollar, true usd, usdd, and gemini dollar.<\/p>\n

In Addition to Terrausd, Neutrino USD, HUSD, and FLEXUSD Depegged From Their $1 Parity<\/h2>\n

Stablecoins that have been bumped down a number of positions include dollar-pegged coins like magic internet money, liquity usd, fei usd, and neutrino usd. The once-stable coin neutrino usd (USDN) is currently trading for $0.448 per unit after depegging from the $1 parity on Nov. 7, 2022.<\/p>\n

\"The<\/p>\n

Another former stablecoin that also lost its peg is HUSD, which depegged from the $1 parity on Oct. 27, 2022. A single HUSD token is currently exchanging hands for $0.14 per unit on Dec. 28.<\/p>\n

\"The<\/p>\n

Furthermore, the once-stable coin flex usd (FLEXUSD) also lost its dollar peg this year. FLEXUSD is now trading for $0.25 per unit as it depegged from the $1 parity on June 20, 2022.<\/p>\n

On Dec. 5, 2022, stablecoins represented $60.74 billion of the $107.29 billion in 24-hour trade volume recorded that day, which equates to 56.61% of all trades. 23 days later, the global trade volume is much lower at $37 billion, while stablecoins represent $29.92 billion or roughly 80.86% of the trades recorded on Dec. 28, 2022.<\/p>\n

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$28 billion erased<\/a>, Altcoin economy<\/a>, Altcoins<\/a>, BUSD<\/a>, DAI<\/a>, depegged<\/a>, depegging<\/a>, Dollar-Pegged<\/a>, Flexusd<\/a>, HUSD<\/a>, Stablecoin<\/a>, Stablecoin Economy<\/a>, stablecoin economy 2022<\/a>, stablecoin markets 2022<\/a>, TerraUSD<\/a>, Tether<\/a>, Tether (USDT)<\/a>, tethers<\/a>, Tokens<\/a>, US Dollar<\/a>, usd coin<\/a>, usd coin (USDC)<\/a>, USDC<\/a>, USDN<\/a>, USDT<\/a>, UST<\/a><\/div>\n<\/div>\n

What do you think about stablecoins this year losing $28 billion in value and the handful of dollar-pegged tokens that depegged from their $1 parity this year? Let us know what you think about this subject in the comments section below. <\/strong><\/em><\/p>\n

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\nJamie Redman <\/h6>\n

\nJamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.

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Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n

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Disclaimer<\/strong>: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com<\/a> does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.<\/p>\n<\/div>\n

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