Most cryptocurrencies have a major problem with price volatility, but one subcategory of coins is designed to maintain a constant value: stablecoins.
As cryptocurrency prices plummeted this week — with bitcoin losing around a third of its value in just eight days — stablecoins were supposed to be isolated from the chaos.
But an unexpected collapse in TerraUSD, the fourth-largest stablecoin, which broke from its 1:1 dollar peg, has brought the asset class under renewed attention.