{"id":6678,"date":"2022-08-26T04:11:20","date_gmt":"2022-08-26T04:11:20","guid":{"rendered":"http:\/\/www.cryptoheretostay.com\/?p=6678"},"modified":"2022-08-26T04:11:20","modified_gmt":"2022-08-26T04:11:20","slug":"usdn-loses-peg-again-as-neutrino-upgrade-to-stabilize-protocol-goes-live","status":"publish","type":"post","link":"https:\/\/cryptoheretostay.com\/?p=6678","title":{"rendered":"USDN loses peg again as Neutrino upgrade to &#8220;stabilize protocol&#8221; goes live"},"content":{"rendered":"<p> <script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"crypto\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<\/p>\n<p>Neutrino $USDN lost its peg for the first time since June 16 as it was updated to implement upgrades to the protocol. Confirmation of the upgrade was announced at 4 pm BST Thursday, several hours after the peg fell from $0.98 to $0.96.<\/p>\n<p>At the time of press, the stablecoin has fallen even lower to $0.94, recording a 4% decline on the day. $USDN fell even lower back in April when it dropped to $0.78 before soaring back to $0.98 within days.<\/p>\n<p>Update #8 was decided on through a governance vote which included four proposals. The winning proposals were announced via the official Neutrino Twitter account.<\/p>\n<p lang=\"en\" dir=\"ltr\">\u26a1\ufe0fUpdate<\/p>\n<p>We have implemented the changes from the latest voting.<\/p>\n<p>\u2705USDN&gt;WAVES Max Swap Amount depends on the current BR. WAVES&gt;USDN Max Swap Amount remains unchanged <br \/>\u2705BR protection added <br \/>\u2705gNSBT rewards distribution between SURF and NSBT stakers has been improved<\/p>\n<p>Enjoy\ud83d\ude0e pic.twitter.com\/O4e94VfG4U<\/p>\n<p>\u2014 Neutrino Protocol \ud83c\udf0a (1 \u279d 2)\ud83c\udfc4\ud83c\udffb\u200d\u2642\ufe0f (@neutrino_proto) August 24, 2022<\/p>\n<p>The vote passed updates to \u201cimplement new swap mechanics, so that Max Swap Amount of USDN&gt;WAVES swaps will depend on the current BR value.\u201d The update increased the maximum allowable value of $USDN that can be swapped into $WAVES depending on the backing ratio (BR.) The BR is the share of $WAVES\u00a0 tokens in relation to the $USDN supply.<\/p>\n<p>Another vote to \u201cIncrease protocol fee for USDN&gt;WAVES swaps\u201d was rejected by the community, with 62% voting \u201cNo.\u201d<\/p>\n<p>The community did pass a third proposal to \u201cimplement new BR protection mechanics, so that BR cannot go lower than 10%.\u201d This update is likely part of the \u201curgent measures\u201d required to \u201cstabilize the protocol and ensure the security of its reserves.\u201d<\/p>\n<p>Adding protection to the backing ratio to ensure it cannot go outside a set range is part of the strategy to defend the peg. However, given the stablecoin has not recovered from its 4% drop, questions have to be raised about the update\u2019s effectiveness.<\/p>\n<p>A final proposal also passed with a massive majority of 95%, reworking the reward distribution for gNSBT staked tokens. Previously, $SURF token holders only received 2% of rewards; the proposal increases this based on specific market conditions.<\/p>\n<p>The update has been live for less than 24 hours; therefore, time may be needed for the updates to affect the network. CryptoSlate chatted to Waves founder Sasha Ivanov last week and spoke directly about the strategies used to defend the peg.<\/p>\n<p>In the interview, Ivanov stated that he believed the peg would remain relatively stable throughout the coming months before restoring its peg to $1. However, he did not rule out the occasional bout of volatility.<\/p>\n<p>Watch the full interview here.<\/p>\n<p><em>CryptoSlate is waiting for a comment from the Waves team.\u00a0<\/em><\/p>\n<p>Posted In: Bear Market, Stablecoins<\/p>\n<h2>Get an Edge on the Crypto Market \ud83d\udc47<\/h2>\n<p>Become a member of CryptoSlate Edge and access our exclusive Discord community, more exclusive content and analysis.<\/p>\n<p>  <strong>On-chain analysis<\/strong><\/p>\n<p>  <strong>Price snapshots<\/strong><\/p>\n<p>  <strong>More context<\/strong><\/p>\n<p> Join now for $19\/month Explore all benefits<script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><br \/>\n<br \/><script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"bitcoin\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<br \/><a href=\"https:\/\/cryptoslate.com\/usdn-loses-peg-again-as-neutrino-upgrade-to-stabilize-protocol-goes-live\/\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Neutrino $USDN lost its peg for the first time since June 16 as it was updated to implement upgrades to the protocol. Confirmation of the upgrade was announced at 4 pm BST Thursday, several hours after the peg fell from $0.98 to $0.96. At the time of press, the stablecoin has fallen even lower to [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":6679,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_wp_rev_ctl_limit":""},"categories":[3],"tags":[],"class_list":["post-6678","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ethereum-news"],"_links":{"self":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/6678","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=6678"}],"version-history":[{"count":1,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/6678\/revisions"}],"predecessor-version":[{"id":6680,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/6678\/revisions\/6680"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/media\/6679"}],"wp:attachment":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=6678"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=6678"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=6678"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}