The contrast betwee USD0's treasury backing and USDe's delta neutral aproach really highlights how diverse stablecoin risk profiles have become. That USD0++ depeg event showing how staked versions can create unexpected contagion risks is particularly concerning for DeFi protocols building on top of these. Would be intersting to see if Polymarket traders adjust these odds as we get closer to year end and funding rates shift.
The contrast betwee USD0's treasury backing and USDe's delta neutral aproach really highlights how diverse stablecoin risk profiles have become. That USD0++ depeg event showing how staked versions can create unexpected contagion risks is particularly concerning for DeFi protocols building on top of these. Would be intersting to see if Polymarket traders adjust these odds as we get closer to year end and funding rates shift.
Either collateralized by treasuries or just a crypto speculation. If T’s then fine. But stupid to give up yield eg tether.