Sasha Ivanov, founder of the Waves blockchain, acknowledged he plans to birth a brand new stablecoin after USDN further de-pegged.

“Two things: – I’ll birth a brand new stable coin – There’s gonna be a USDN arena resolution opinion region in circulate earlier than,” tweeted Ivanov on Tuesday.

At press time, Waves’ algorithmic stablecoin USDN become trading 52% below its dollar peg.

When requested if USDN may possibly possibly possibly not be mounted, Ivanov acknowledged that the “important part is to develop americans entire in the end.” The Waves founder did not say any new parts of the upcoming stablecoin, with the exception of for the truth that it would not be underpinned by the identical mechanics as USDN.

He acknowledged that no further announcements may possibly possibly possibly possibly be made unless a USDN resolution opinion has been region in circulate.

USDN, an algorithmic stablecoin backed by the Waves blockchain, first confirmed indicators of instability after shedding its peg in April 2022. Despite bettering its dollar-peg a few days after, the stablecoin persevered to experience a replacement of crashes sporadically over the following few months.

The realm worsened considerably after the Digital Asset eXchange Affiliation (DAXA) – a physique of 5 Korean crypto exchanges – issued a warning about Waves and USDN on Dec. 8. South Korean trade Upbit acknowledged it may possibly possibly possibly possibly well finish transaction beef up for the tokens as a cautionary measure.

At the time of the announcement, USDN become trading at $0.88 nonetheless has since fallen to a low of $0.53. Meanwhile, the blockchains native token WAVES dropped 35% within the final two weeks to a low of $1.62 at the time of writing.

In a Dec. 19 weblog put up, Waves claimed that futures records confirmed the DAXA warning had “harmed Waves more than USDN ever can even.” Upbit’s suspension of WAVES deposits signalled to the market that the token become unhealthy, when nothing about it had modified, acknowledged the Waves crew in a commentary.