Stablecoins have been in the spotlight recently, thanks to regulatory crackdowns and chaos in the traditional financial sector, and investors have been pulling money out of some stablecoins at a staggering pace.
To recap what’s been going on: The New York State Department of Financial Services in February ordered Paxos to stop issuing the Binance-branded stablecoin BUSD, and Paxos cut ties with the crypto exchange. And Circle’s USDC briefly plunged below the price of $1 last month after Circle disclosed it had $3.3 billion in stablecoin reserves at Silicon Valley Bank.
