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UST depeg summary: WHY AND WHAT CAUSED UST DEPEG?
Hint is in Anchor protocol and the status of Curve UST pool. @anchor_protocol @terra_money
@terra_money 1/ There were series of notable events that happened during the recent UST depeg event.
In this thread, I will share my thoughts on what caused the depeg.
@terra_money 2/ May 7th, 2022. 9 pm was the time that starts the depeg event.
First, UST deposits in Anchor protocol started to exit, which means more circulating UST in the market → sell pressure.
@terra_money 3/ Simultaneously, 150M UST was withdrawn from Curve wormhole UST3CRV pool followed by large UST → USDC swap that caused significant imbalance between UST(85%) and 3CRV(15%) in the pool.
@terra_money 4/ However, some address made series of transactions to restore the balance in the Curve pool. Here are lists of relevant transactions.
https://t.co/gx9nr7kNcN (05-08-22, 02:30 AM)
https://t.co/bPKhvgfT72 (05-08-22, 02:40 AM)
https://t.co/8Yd056olrL (05-08-22, 03:00 AM)
Hint is in Anchor protocol and the status of Curve UST pool. @anchor_protocol @terra_money
@terra_money 1/ There were series of notable events that happened during the recent UST depeg event.
In this thread, I will share my thoughts on what caused the depeg.
@terra_money 2/ May 7th, 2022. 9 pm was the time that starts the depeg event.
First, UST deposits in Anchor protocol started to exit, which means more circulating UST in the market → sell pressure.
@terra_money 3/ Simultaneously, 150M UST was withdrawn from Curve wormhole UST3CRV pool followed by large UST → USDC swap that caused significant imbalance between UST(85%) and 3CRV(15%) in the pool.
@terra_money 4/ However, some address made series of transactions to restore the balance in the Curve pool. Here are lists of relevant transactions.
https://t.co/gx9nr7kNcN (05-08-22, 02:30 AM)
https://t.co/bPKhvgfT72 (05-08-22, 02:40 AM)
https://t.co/8Yd056olrL (05-08-22, 03:00 AM)