Between June 13 and June 27, or roughly two weeks, Tron’s stablecoin USDD dropped lower than the $1 parity and slipped to a low of $0.928 per unit on June 19. During the past seven days, USDD has managed to jump back to the $0.98 to $0.99 region while reaching $1 on July 3.
Tron’s USDD Stablecoin Climbs Back Above $0.98 per Unit
The stablecoin USDD, issued on top of the Tron network, saw its value slip below the typical $1 parity it held prior to June 13. Prior to that day, the stablecoin’s chart looked similar to an electrocardiogram flatline holding a stable value of around $0.994 to $1.
Between June 13th to the 15th, however, USDD’s fiat value slipped to a low of $0.964 per unit. At that time, the Tron Reserve DAO collateralized the stablecoin with crypto assets such as tron (TRX) and usd coin (USDC). During that time, bitcoin (BTC) and a number of other top crypto assets slid significantly in value.
On June 18, the crypto economy shuddered and around 2 p.m. (ET), BTC hit a 2022 low at $17,593 per unit. The following day, Tron’s USDD hit the stablecoin’s all-time low at $0.928 per unit.
Eight days later, on June 27, USDD managed to get back to the $0.98 to $0.99 range, and it’s been trading for that price ever since, with one brief spike to $1 per unit on July 3. While the stablecoin had a two-week run below the normal rate, the Tron Reserve DAO continued to add more collateral to the project.
At the time of writing, the project’s reserve page notes that there’s 723.32 million USDD in circulation. The web page details that USDD is overcollateralized by 313.5% at the time of writing, with four different crypto assets backing the project.
Assets include 10.874 billion tron, 14,040.6 bitcoin, 140 million tether, and 990 million usd coin. When USDD saw a lower price value than usual for two weeks during the crypto market downturn, a couple of other stablecoins also dropped to lower values than usual.
Top 9 Stablecoins by Market Cap Remain Stable
Bitcoin.com News reported on Abracadabra’s stablecoin MIM slipping to $0.91 and the Waves stablecoin neutrino usd (USDN) sliding to $0.931 per unit. While USDD has held a stable price range over the last week, USDN is exchanging hands for $0.987 while MIM is swapping for $0.993.
The Tron Reserve DAO has continued to bolster the stablecoin’s backing with reserves and it’s been purchasing back USDD with assets as well. Stablecoins have all seen instances where the value of the…
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