Terra-Based DeFi Protocol Anchor Proposes Cutting UST Yield Rates to 4%

“One significant factor for today’s depeg was the release of Terra’s stability reserve into the Anchor reserve every time it was depleted, introducing newly minted UST that was not supposed to be there into circulation,” Hong wrote, explaining UST’s price plunge on Wednesday.

This article originally appeared on https://www.coindesk.com/markets/2022/05/12/terra-based-defi-protocol-anchor-proposes-cutting-ust-yield-rates-to-4/