Recently, there have been critical developments for the two altcoins. Waves’ stablecoin, USDN, lost the dollar peg causing the focus to shift to WAVES. On the other hand, attention was drawn to an important data for Optimism (OP).
WAVES answered questions after new stablecoin announcements
Waves, also known as cryptokoin.com, plans to launch a new stablecoin amid the ongoing crisis of Neutrino USD (USDN). Ivanov took to Twitter on December 20 to announce a new stablecoin project, as well as the USDN contingency resolution plan. However, this situation drew reaction from the community. Recently, the Waves team answered various questions on the subject.
First of all, it was noted that the USDN reserve fund decreased by 10 million WAVES. Traders were worried that if large amounts of money were withdrawn in this way, the Neutrino reserve would be depleted. “Although reserves are declining, trend forecasts do not guarantee future results,” the developers said in response. He also shared his comments on the market situation. They pointed out that transaction volumes and prices have reached low levels. As a result, they pointed to the decline of many market metrics. Stating that WAVES also got its share from this situation, the developers said that uncertainty was felt.
Waves also had an answer to the price manipulation claim. Despite allegations that the team is manipulating the USDN price, the developers underlined that the current price action has become volatile as altcoin investors sell millions of USDN. He also denied manipulation allegations against another of their projects, VIRES.
There are some concerns for Optimism (OP)
Crypto Pragmatism analyst Jack Niewold made some statements regarding Optimism (OP). According to the analyst, there is a danger of inflation in the Ethereum layer-2 solution Optimism. According to Niewold, the OP’s daily inflation rate hovers around 1.1 percent. Bitcoin’s annual inflation rate is 1.54 percent. It is worth emphasizing that one is daily and the other is annual rates. According to Niewold, this situation does not look good for the token, “especially considering the depth of liquidity in exchanges is low”. There is a high risk of a sharp drop in price after several million sales are made.
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