Concerns about the algorithmic stablecoin terrausd (UST) losing its $1 parity have grown as crypto markets continue to fall in value. On May 7, 2022, UST fell to $0.985 per unit against tether (USDT), sparking widespread concerns that the stablecoin might lose its dollar anchor. Following the dip on Saturday, the Luna Foundation Guard (LFG) announced that it was loan out millions of dollars in bitcoin and UST to keep the peg in place until market conditions normalized.
277
