{"id":61517,"date":"2022-05-16T12:44:57","date_gmt":"2022-05-16T09:44:57","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=61517"},"modified":"2025-09-05T12:41:09","modified_gmt":"2025-09-05T09:41:09","slug":"dei-stablecoin-from-deus-finance-dao-loses-dollar-peg","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/dei-stablecoin-from-deus-finance-dao-loses-dollar-peg\/","title":{"rendered":"DEI stablecoin from Deus Finance DAO loses dollar peg"},"content":{"rendered":"<p>In the evening of May 15, the Deus Finance DAO&#8217;s algorithmic stablecoin DEI lost its peg to the U.S. dollar.<\/p>\n<blockquote class=\\\"twitter-tweet\\\" data-lang=\\\"en\\\">\n<p lang=\\\"en\\\" dir=\\\"ltr\\\"><a href=\\\"https:\/\/twitter.com\/hashtag\/PeckShieldAlert?src=hash&#038;ref_src=twsrc%5Etfw\\\">#PeckShieldAlert<\/a> Stablecoin <a href=\\\"https:\/\/twitter.com\/search?q=%24DEI&#038;src=ctag&#038;ref_src=twsrc%5Etfw\\\">$DEI<\/a> tanks to $0.77. <a href=\\\"https:\/\/t.co\/mzfVnN06Wi\\\">https:\/\/t.co\/mzfVnN06Wi<\/a> <a href=\\\"https:\/\/t.co\/BaqmDF16KM\\\">pic.twitter.com\/BaqmDF16KM<\/a><\/p>\n<p>\u2014 PeckShieldAlert (@PeckShieldAlert) <a href=\\\"https:\/\/twitter.com\/PeckShieldAlert\/status\/1526089511155171328?ref_src=twsrc%5Etfw\\\">May 16, 2022<\/a><\/p><\/blockquote>\n<p> <script async=\\\"\\\" src=\\\"https:\/\/platform.twitter.com\/widgets.js\\\" charset=\\\"utf-8\\\"><\/script><\/p>\n<p>The price of the &#8220;stablecoin&#8221; reached $0.51. At the time of writing, the asset trades around $0.68, with a market capitalization of $62 million (<a href=\\\"https:\/\/www.coingecko.com\/ru\/%D0%9A%D1%80%D0%B8%D0%BF%D1%82%D0%BE%D0%B2%D0%B0%D0%BB%D1%8E%D1%82%D1%8B\/dei-token\\\">CoinGecko<\/a>).<\/p>\n<p>In the last 24 hours, the DEUS token, used to mint the stablecoin, fell roughly 34% to around $190.<\/p>\n<figure class=\\\"wp-block-image\\\"><img decoding=\\\"async\\\" src=\\\"https:\/\/lh6.googleusercontent.com\/ezSSYBUG9vWmnRYrqYqGjxh7K-a8SCgVsA6Hn_4q4GqGYio1jxS0dLGmhLTTFsld8ToOeBdju2glrlDGtpBfXU1l16yyJGbBn5RloiR3ujgnXrE71dKW_OF2X4qPh717aqE0wEsCjOkFK98XgA\\\" alt=\\\"\u0421\u0442\u0435\u0439\u0431\u043b\u043a\u043e\u0438\u043d DEI \u043e\u0442 Deus Finance DAO \u0443\u0442\u0440\u0430\u0442\u0438\u043b \u043f\u0440\u0438\u0432\u044f\u0437\u043a\u0443 \u043a \u0434\u043e\u043b\u043b\u0430\u0440\u0443\\\"\/><figcaption>Data: <a href=\\\"https:\/\/dexscreener.com\/fantom\/0xa59b71a911caa1673fa3ecd883757ef99caf1b550001000000000000000003a0-0x04068da6c83afcfa0e13ba15a6696662335d5b75-0xde5ed76e7c05ec5e4572cfc88d1acea165109e44\\\">DEX Screener<\/a>.<\/figcaption><\/figure>\n<p>The drop below $1 for DEI coincided with the publication of a proposal to launch a debt-token program with a fixed interest rate from DEUS Treasury:<\/p>\n<blockquote class=\\\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\\\">\n<p>&#8220;The stablecoin market was shaken by the UST collapse. We believe that a robust $1 peg and full collateralization are the answer to the problem of short-term stability.&#8221;<\/p>\n<\/blockquote>\n<p>The initiative&#8217;s stated aim is to implement support for DEI with a 1:1 asset basket. According to the site, the algorithmic stablecoin is &#8220;partially collateralised&#8221;.<\/p>\n<blockquote class=\\\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\\\">\n<p>&#8220;The history keeps repeating itself. Now another stablecoin has depegged, just like UST. Perhaps we will finally stop building models that simply do not work,&#8221; \u2014 wrote one user.<\/p>\n<\/blockquote>\n<blockquote class=\\\"twitter-tweet\\\" data-lang=\\\"en\\\">\n<p lang=\\\"en\\\" dir=\\\"ltr\\\">History still repeating itself. Now another stablecoin <a href=\\\"https:\/\/twitter.com\/search?q=%24DEI&#038;src=ctag&#038;ref_src=twsrc%5Etfw\\\">$DEI<\/a> has depegged. Just like <a href=\\\"https:\/\/twitter.com\/hashtag\/UST?src=hash&#038;ref_src=twsrc%5Etfw\\\">#UST<\/a>. Can we please stop building models like this that simply do not work? <a href=\\\"https:\/\/t.co\/DqMdzkciIO\\\">https:\/\/t.co\/DqMdzkciIO<\/a><\/p>\n<p>\u2014 Cryptik (@Cryptik19) <a href=\\\"https:\/\/twitter.com\/Cryptik19\/status\/1526040685681442817?ref_src=twsrc%5Etfw\\\">May 16, 2022<\/a><\/p><\/blockquote>\n<p> <script async=\\\"\\\" src=\\\"https:\/\/platform.twitter.com\/widgets.js\\\" charset=\\\"utf-8\\\"><\/script><\/p>\n<p>In response to a tweet where investor going by the handle BigBenStats expressed hope for a quick recovery in DEI&#8217;s price and mentioned 80% reserve backing.<\/p>\n<p>Earlier, in the wake of the UST incident, Ethereum co-founder Vitalik Buterin stated that the term &#8220;algostablecoin&#8221; had become propaganda, serving to &#8220;legitimise uncollateralized stablecoins&#8221;.<\/p>\n<blockquote class=\\\"twitter-tweet\\\" data-conversation=\\\"none\\\">\n<p lang=\\\"en\\\" dir=\\\"ltr\\\">Agree hard on this, with the one quibble that \\&#8221;algostable\\&#8221; has become a propaganda term serving to legitimize uncollateralized stables by putting them in the same bucket as collateralized stables like DAI\/RAI, and we need to really emphasize that the two are very different.<\/p>\n<p>\u2014 vitalik.eth (@VitalikButerin) <a href=\\\"https:\/\/twitter.com\/VitalikButerin\/status\/1525512307358347265?ref_src=twsrc%5Etfw\\\">May 14, 2022<\/a><\/p><\/blockquote>\n<p> <script async=\\\"\\\" src=\\\"https:\/\/platform.twitter.com\/widgets.js\\\" charset=\\\"utf-8\\\"><\/script><\/p>\n<p>He urged not to compare such assets with fully backed, \\&#8221;stablecoins\\&#8221; like DAI.<\/p>\n<p>Earlier, in March, a hacker <a href=\"https:\/\/u1f987.com\/en\/news\/hacker-exploits-deus-finance-dao-nets-about-3-million\">attacked Deus Finance DAO<\/a> with <a href=\"https:\/\/u1f987.com\/en\/news\/what-are-flash-loans\">instant loans<\/a>. The loot amounted to about $3 million, and the protocol presumably lost more.<\/p>\n<p>In April, the project <a href=\"https:\/\/u1f987.com\/en\/news\/hacker-drains-more-than-13m-from-defi-protocol-deus-finance-dao\">was attacked again<\/a> via a similar vector. The hacker withdrew assets valued at approximately $13.4 million from the smart contracts.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>In the evening of May 15, the Deus Finance DAO&#8217;s algorithmic stablecoin DEI lost its peg to the U.S. dollar.<\/p>\n","protected":false},"author":1,"featured_media":61518,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[807],"class_list":["post-61517","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-stablecoins"],"aioseo_notices":[],"amp_enabled":true,"views":"15","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/61517","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=61517"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/61517\/revisions"}],"predecessor-version":[{"id":61519,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/61517\/revisions\/61519"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/61518"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=61517"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=61517"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=61517"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}