{"id":153538,"date":"2025-03-23T16:00:28","date_gmt":"2025-03-23T14:00:28","guid":{"rendered":"https:\/\/cryptodnes.bg\/en\/?p=153538"},"modified":"2025-03-23T13:32:07","modified_gmt":"2025-03-23T11:32:07","slug":"sonic-prepares-to-launch-algorithmic-stablecoin","status":"publish","type":"post","link":"https:\/\/cryptodnes.bg\/en\/sonic-prepares-to-launch-algorithmic-stablecoin\/","title":{"rendered":"Sonic Prepares to Launch Algorithmic Stablecoin"},"content":{"rendered":"
Unlike fiat-backed stablecoins, which maintain value through reserves, algorithmic stablecoins use coded mechanisms to stabilize their price. Sonic\u2019s new stablecoin<\/a> <\/strong>aims to offer returns as high as 23% APR, according to Andre Cronje, co-founder of Sonic Labs and the creator of Yearn.finance.<\/p>\n On March 22, Cronje shared an update on social media, noting that initial testing showed yields exceeding 200% APR at $10 million in total value locked (TVL), stabilizing around 23.5% at $100 million, and settling at approximately 4.9% once TVL reaches $1 billion. He indicated that the project would be scaled up for a full launch.<\/p>\n Cronje\u2019s cautious optimism stems from his past experience with algorithmic stablecoins, admitting that the failures of previous cycles left him skeptical despite the promising results. In 2022, the collapse of Terra\u2019s ecosystem wiped out billions in value, as its stablecoin UST, which once offered over 20% APY on Anchor Protocol, lost its peg to the U.S. dollar. The sister token LUNA, which was among the top cryptocurrencies by market capitalization, plummeted by over 98% in value.<\/p>\n