In recent years, the stablecoin market has experienced rapid growth. However, the year of 2022 “stood out” due to several unfortunate incidents involving stablecoins.
Those incidents occurred, in part, due to a lack of sufficient regulatory supervision. The collapse of ‘Terre Luna’, which guaranteed its value by pegging to USD (through an algorithmic mechanism), may have played a crucial role in the triggering of a significant regulatory discussion around the world.
