The UST stablecoin collapse exposed a critical flaw in Terra's algorithmic design, relying on market confidence in its linked token LUNA rather than dollar reserves. When UST lost its $1 peg due to selling pressure, the mint-and-burn mechanism expanded LUNA supply, causing a price crash and a self-reinforcing death spiral. This led to one of crypto's fastest wealth destructions and SEC fraud charges against Terraform Labs and founder Do Kwon. The event highlights risks in algorithmic stablecoins, emphasizing the need for backing assets and stable redemption mechanisms.
The UST stablecoin collapse is the subject, with Pluang's market data providing context for cryptocurrency trends. For readers following crypto, here is Pluang's market snapshot as of Sep 23, 2026 17:51 WIB: out of 50 major cryptocurrencies, 36 rose and 13 fell today. Notably, XNO (Nano) dropped 14.35% to Rp6.669 with a typical hold time of 86 days and a 42% sell order activity, contrasting with BAT (Basic Attention Token) which gained 11.83% to Rp1.674 and saw 99% buy orders, while SNX (Synthetix) rose 11.82% to Rp4.683 despite 92% sell orders and a shorter hold time of 69 days.
Binance Coin (BNB) fell to $568, marking a 2.21% decline in one hour and a 10.13% drop over 24 hours on Binance spot trading. During the same hour, liquidations across Binance, Bybit, and OKX totaled $380,000, with long positions accounting for the m...
Cardano (ADA) experienced a sharp 3.04% price drop within one hour to $0.1435 on Binance spot trading, accompanied by $110,000 in long liquidations across Binance, Bybit, and OKX. Over the past 24 hours, ADA's price fell 14.38%, reflecting significan...
Aster (ASTER) token saw a 4.20% price increase within one hour on Binance, rising from $0.4899 to $0.5105, yet it remains down 20.71% over the past 24 hours. The short-term price rebound did not offset the broader daily loss. Liquidations of $10,000 ...
NEAR Protocol's price fell to $2.94 on Binance, down 3.66% in the last hour and 14.37% over the past 24 hours. During the same hour, $210,000 worth of long positions were liquidated across Binance, Bybit, and OKX, indicating significant selling press...
Avalanche (AVAX) dropped 3.02% in the hour ending at 8:37 p.m. ET on Nov. 14, reaching $6.83 on Binance's spot market, down from $7.05 an hour earlier. Over the past 24 hours, AVAX declined 16.72%, showing a sharper drop over the longer period. Liqui...
