AEUR stablecoin loses euro peg before Binance trading halt

On December 5, the price of the стейблкоина Anchored Coins Euro (AEUR) on the Binance exchange suddenly began to rise and reached $3.25.

After some time, representatives of the trading platform noted the incident and halted trading of the coin due to ‘abnormal volatility’.

#Binance has suspended trading of $AEUR due to abnormal volatility.

Thanks for your patience and our team is working towards reopening trading soon.https://t.co/F80OVDG1qk

— Binance (@binance) December 5, 2023

“Because AEUR was well received by the community, including users who perhaps did not realise its status as a stablecoin, there was high demand for the asset, which led to a deviation in its price,” Binance explained.

The exchange team also pledged to compensate affected users for their losses.

‘Stablecoin’ выпущена in August by the subsidiary of a Singaporean investor and former politician Calvin Cheng, Anchored Coins. According to сайту of the project, the stablecoin is backed by fiat euro with a market capitalization of €5 million.

Binance listed AEUR on December 4, but the ‘stable’ asset remained for less than a day. Moving forward, the exchange intends to resume trading the coin.

In November, Kaiko обратили внимание on a minor but persistent deviation of the USDT price from the US dollar.

On October 11, the real estate-backed stablecoin Real USD (USDR) утратил its peg, dropping in price by 50%. Before the ‘unpeg’, the coin’s market capitalization was about $45 million.

Moody’s зафиксировали 609 depegs of major stablecoins for the year. In total from January through September there were 1,914 deviations from the peg.