Solana Stablecoin UXD Protocol, Announces Cease Operations

Bittime  - UXD ceased operations due to lack of liquidity and market challenges, with the refund process via DAO voting. Check it out in this article!

Reason for Termination of Operations

The UXD team said that the closure was due to a lack of liquidity and the inability of their stablecoin model to meet product market requirements. 

This suggests that although their stablecoin project was possible, problems maintaining liquidity and adapting to market demand were the cause of this closure.

Refund and Closing Process

User refunds will be made through the DAO's voting mechanism, and is expected to take up to two years. Additionally, as part of this closing action, UXD will also destroy $7.5 million worth of UXP tokens.

Read Also: Shiba Inu Community Reports Telegram Group Scam

Mango Markets Incident

The attack on the Mango Markets platform in October 2022 resulted in UXD losing $19.9 million. Although they managed to recover the funds, the incident seems to be one of the problems that disrupted their operations.

Conclusion

UXD's struggle to provide a stable currency spread across the Solana ecosystem ended with their decision to cease operations. 

UXD ensures their commitment to the community and users with refunds and token destruction. 

This closure process will be a major focus for the UXD team in the next few years, ensuring that all users get their funds back in full.

Therefore, UXD's closure shows that algorithmic stablecoin projects face major problems in maintaining stability and liquidity in an ever-evolving market.

How to Buy Crypto on Bittime

You can buy and sell crypto assets easily and safely via Bittime. Bittime is one of the best crypto applications in Indonesia which is officially registered with Bappebti. 

To be able to buy crypto assets on Bittime, make sure you have registered and completed identity verification. Apart from that, also ensure you have sufficient balance by depositing some funds into your wallet. For your information, the minimum purchase of assets on Bittime is IDR 10,000. After that, you can purchase crypto assets in the application. Study Complete Guide How to Buy Crypto on Bittime. 

Monitor graphic movement of Bitcoin (BTC) price, Ethereum (ETH), Solana (SOL), and other cryptos to find out today's crypto market trends in real-time on Bittime.