Lately, $NOTE, the stablecoin of Canto Blockchain constructed on the Cosmos framework, confronted a number of FUD rumors. Being a steady coin, NOTE is pegged to the worth of the US Greenback, which signifies that the token’s value can not deflect and has to stay steady.
Nonetheless, as reported by WuBlockchain, NOTE lately de-pegged from the US greenback and dropped to $0.60.
Causes of FUD
The rationale for the drop in $NOTE will be linked to the drop within the $CANTO token. One among X’s customers expressed his issues on his feed, stating that the drop that has been noticed is round 95% from its all-time excessive (ATH).
1/ Who’s prepared for some @CantoPublic FUD?!!!!!1one
So the worth has dropped like 95%+ from ATH so this isn’t concerning the $CANTO token, however could possibly be one thing extra attention-grabbing, the demise of the native stablecoin $NOTE. And partially due to RWA. Enjoyable.
— Colin Platt (@colingplatt) September 2, 2024
The Canto blockchain, constructed on the Cosmos framework, together with the de-pegging has additionally confronted different points in latest weeks such because the downtime which led to the following lack of whole worth locked (TVL) have raised issues concerning the community’s stability and safety.
Amid all of the drama, traders misplaced religion within the blockchain and created a scenario of concern, uncertainty, and doubt (FUD). They’ve additionally highlighted the dangers and challenges that blockchain and DeFi pose to customers.
Silver lining amid de-pegging
Despite the fact that the way forward for NOTE and Canto stays unpredictable, the restoration of NOTE to $0.96 has introduced reduction to the traders however it turns into essential for these tasks to prioritize stability, safety, and transparency to take care of consumer belief.
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