Recently, I saw many discussions about the concept of depeg, which actually refers to the situation where a stablecoin's price deviates from its peg. The most straightforward example is the shocking event that rocked the entire market—the crisis of USDC and DAI.

It's still quite an impressive memory. USDC was originally claimed to be backed 1:1 by USD, but it was later revealed that a large portion of its reserves were held at a failing bank, and when this news broke, the entire market exploded. At that time, major exchanges temporarily suspended related conversions, and panic spread quickly. DAI wasn't in a much better position either, because nearly half of its reserves were USDC, so it also depegged, with its price dropping by as much as 7%.

This incident actually highlights a very real issue. Many people think stablecoins are absolutely safe, but in reality, once the reserves are compromised, depegging can happen immediately. The market's confidence collapsed very quickly, and everyone started questioning: are these tokens, supposedly backed by real assets, truly reliable?

I think this lesson is quite profound. Even relatively well-known stablecoins like USDC and DAI can face issues of insufficient reserves. So now, when evaluating any stablecoin, the first thing to look at is its reserve composition and support mechanism, rather than blindly trusting the brand. The market is constantly evolving, but so are the risks. Paying attention to these news updates and doing your own research is the right attitude to handle the uncertainties in the crypto market.