Curve 3pool, a liquidity pool with over $510 million in USDC, DAI and USDT, is supposed to hold roughly equal balances of all three. But at press time the share of USDT had shrunk to less than 7% while USDC and DAI had ballooned to over 46% apiece.
The imbalance speaks to crypto investors’ sudden flight from assets linked to Circle’s USDC stablecoin; DAI is partially backed by USDC. Their fears are being stoked by speculation that a portion of Circle’s cash reserves – the assets backing USDC – may be locked up in collapsed Silicon Valley Bank.
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