Crypto Alert: Bitcoin News, Price Predictions, Crypto Trading Live!

The recent collapse of the TerraUSD stablecoin and associated sell-off in crypto markets has shown that hype-driven growth can lead to bubbles, harm consumers, and crowd out productive innovation,” Hsu said in a speech Tuesday before the Digital Chamber of Commerce.

“What has become clearer to me … is that these developments are indicative of the crypto economy’s dependence on hype…the recent events in crypto should serve as a wake-up call and an opportunity to reset and to recalibrate the problems the industry is trying to solve,” he added.

Hsu says that contagion risks within crypto are real, underscoring that the collapse of algorithmic stablecoin Terra spread to the largest stablecoin, Tether (USDT-USD), and to the broader crypto ecosystem.
WASHINGTON, DC – AUGUST 03: Acting Comptroller of the Currency Michael Hsu testifies during a hearing before Senate Banking, Housing and Urban Affairs Committee at Dirksen Senate Office Building August 3, 2021 on Capitol Hill in Washington, DC. The committee held a hearing on “Oversight of Regulators: Does our Financial System Work for Everyone?” (Photo by Alex Wong/Getty Images)

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