Acala blockchain, whose stablecoin fell by 99% in August, resumed its work

Representatives of the Acala blockchain have announced the resumption of the project after a developer error that caused the AUSD token to drop in price by 99% — according to crypto experts, the trust of users will now have to be «earned» a second time.

As it has become known, the first stage of Acala’s return to the crypto market was successful — the Acala community voted to restore the blockchain after the developers burned almost all the mistakenly issued stablecoins. Interestingly, Acala called the incident a developer error, and not a planned hacker attack as previously thought.

Starting today, Acala will begin unfreezing customer accounts and will «safely and gradually» resume cryptocurrency transactions. According to Acala’s latest report, the network has a total turnover of $ 10,961,589, of which $ 5,837,712 was re-bailed out by the Acala Foundation. Also, thanks to the support of the Acala Foundation, which donated 2,489,614 ACA, 80,853 DOT, 0.164 iBTC, 995,020 INTR, 530,700 LDOT, the protocol managed to restore the balance of the liquidity pools to the previous level.

As a reminder, the error in the iBTC/AUSD liquidity pool was discovered in mid-August, and since then, the AUSD stablecoin has fallen by 99%, losing its peg to the dollar. At that time, the AUSD stablecoin joined the list of «stable» cryptocurrencies that have lost their promised stability. Members of the cryptocurrency community assumed that the problems of the DeFi platform would lead to a Terra-like disaster, but the Acala team managed to avoid larger problems.