Stablecoin AUSD collapsed to $0.05 after a hacker attack

by in Cryptocurrency News

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Unknown people attacked the Polkadot-based Acala Network protocol and issued more than 1.2 billion AUSD. As a result, the price of the stablecoin at the moment fell to $0.05.

The stablecoin is worth $0.87 as of this writing.

"We have discovered an AUSD-related Honzon protocol setup problem. We are having an emergency vote to shut down Acala while we look into and fix the problem. The project team stated that it will announce the restoration of regular network operation.

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According to the Twitter account WatcherGuru, the attackers took advantage of the exploit and "printed" 1.2 billion AUSD.

The price of the stablecoin began to recover, but has not yet returned to the set $1 mark.

Startup Acala is founded by New Zealand residents. According to the creators, the AUSD stablecoin makes it possible to liquidate assets locked in staking. The token can be issued against the security of various cryptocurrencies, including Polkadot, Kusama, Acala, and Karura.