TrueUSD Drops Below $1 Peg Amid Massive Sell-Off and Redemption Issues

The stablecoin's instability is speculated to be linked to a recent exploit on the Poloniex exchange, with denied redemption requests further eroding market confidence.

• Stablecoin TrueUSD (TUSD) has dropped below its $1 peg following a massive sell-off, with the price dipping to around $0.97.
• Traders sold over $300 million worth of TUSD for USDT on Binance, leading to net outflows amounting to $279 million.
• Some speculate that the large sell-off of TUSD is closely related to the recent $100 million exploit on Poloniex, a Justin-Sun linked exchange.
• Redemption requests for TUSD have reportedly been denied, leading to a lack of confidence in the market and further de-pegging.
• The circulating supply of TUSD has dropped to $1.9 billion from approximately $2.3 billion at the start of the year.

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