{"id":22326,"date":"2025-03-23T15:39:57","date_gmt":"2025-03-23T13:39:57","guid":{"rendered":"https:\/\/forklog.com\/en\/sonic-labs-to-launch-its-own-algorithmic-stablecoin\/"},"modified":"2025-03-23T15:39:57","modified_gmt":"2025-03-23T13:39:57","slug":"sonic-labs-to-launch-its-own-algorithmic-stablecoin","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/sonic-labs-to-launch-its-own-algorithmic-stablecoin\/","title":{"rendered":"Sonic Labs to Launch Its Own Algorithmic Stablecoin"},"content":{"rendered":"<p>The creators of the <a href=\"https:\/\/forklog.com\/en\/news\/a-phantom-reborn-sonic-a-revamped-network-from-the-father-of-defi\">Sonic<\/a> blockchain are working on implementing their own algorithmic stablecoin, according to Sonic Labs co-founder Andre Cronje.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">POC looks good. Yielding > 200% APR @ 10m tvl, around 23.5% APR @ 100m, steady at around 4.9% at 1bn+.<\/p>\n<p>Will scale up and get team for a full release. <a href=\"https:\/\/t.co\/JtMqzAkU7g\">https:\/\/t.co\/JtMqzAkU7g<\/a> <a href=\"https:\/\/t.co\/Z4j2aPzefB\">pic.twitter.com\/Z4j2aPzefB<\/a><\/p>\n<p>\u2014 Andre Cronje (@AndreCronjeTech) <a href=\"https:\/\/twitter.com\/AndreCronjeTech\/status\/1903524029413331298?ref_src=twsrc%5Etfw\">March 22, 2025<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>According to him, Sonic plans to scale the system and prepare for a full release, though no specific timeline was provided.<\/p>\n<p>Earlier, Cronje mentioned that his team had &#8220;cracked&#8221; the technology behind algorithmic stablecoins, yet a full-scale implementation remains uncertain.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>&#8220;The previous cycle gave me such severe PTSD that I&#8217;m not sure if we should implement it,&#8221; explained the Sonic co-founder.<\/em><\/p>\n<\/blockquote>\n<p>Cronje&#8217;s unpleasant experience likely relates to the collapse of the algorithmic stablecoin UST and the Terra ecosystem in 2022.<\/p>\n<p>Later, he hinted that everyone at Sonic decided to launch the asset.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>&#8220;You only live once,&#8221; wrote the entrepreneur.<\/em><\/p>\n<\/blockquote>\n<p>Many users received the announcement with optimism, while some expressed concerns.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>&#8220;Don&#8217;t do it. An algorithmic stablecoin is an oxymoron. If it&#8217;s stable, it doesn&#8217;t need an algorithm. If it&#8217;s tied to an algorithm, there&#8217;s always a scenario where it can lose its peg, meaning it&#8217;s unstable. Moreover, the peg always breaks when you need it most\u2014during panic and flight,&#8221; <a href=\"https:\/\/x.com\/CNkrypto\/status\/1903485580790350018\" title=\"\">noted<\/a> one commentator.<\/p>\n<\/blockquote>\n<p>In March, U.S. President Donald Trump <a href=\"https:\/\/forklog.com\/en\/news\/donald-trump-urges-congress-to-pass-stablecoin-legislation\">urged<\/a> Congress to pass a bill regulating stablecoins.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The creators of the Sonic blockchain are working on implementing their own algorithmic stablecoin, according to Sonic Labs co-founder Andre Cronje. POC looks good. Yielding > 200% APR @ 10m tvl, around 23.5% APR @ 100m, steady at around 4.9% at 1bn+. Will scale up and get team for a full release. https:\/\/t.co\/JtMqzAkU7g pic.twitter.com\/Z4j2aPzefB \u2014 [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":22325,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"","news_style_id":"","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1462,807],"class_list":["post-22326","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-fantom-blockchain","tag-stablecoins"],"aioseo_notices":[],"amp_enabled":true,"views":"38","promo_type":"","layout_type":"","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/22326","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=22326"}],"version-history":[{"count":0,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/22326\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/22325"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=22326"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=22326"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=22326"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}