Days After TerraUSD's Shocking Fall, Rival Tether Is Suddenly Teetering
U.S. dollar stablecoin Tether (CRYPTO: USDT) is the largest stablecoin by market capitalization in the world and the third largest cryptocurrency period, trailing only Bitcoin and Ethereum. And on May 12, Tether did something it's never done before. The stablecoin is supposed to always be worth $1. But during the early morning hours, it dropped to about $0.95 -- a shocking drop.
Tether's 5% deviation from its $1 peg is particularly jarring right now because of what just happened with rival stablecoin TerraUSD (CRYPTO: UST). TerraUSD lost its $1 peg a few days ago and has traded as low as $0.30 per coin. And it's possible it will never recover.
In this article, let's briefly look at stablecoins and what might be next for Tether and for the cryptocurrency space as a whole.
Source Fool.com
