Apyx Responds to apxUSD Briefly Detaching to $0.93: Fluctuation Not a Bug, but Expected Performance of Preferred Stock-Backed Stablecoin
On June 4, the stablecoin apxUSD, issued by the Apyx protocol and primarily backed by Strategy preferred stock STRC, briefly detached from its peg during a period when Bitcoin fell below $63,000, reaching a low of $0.93. Apyx stated that this fluctuation is not a bug, but rather an expected performance of the preferred stock-backed stablecoin. Since the reserve assets of apxUSD are mainly composed of STRC preferred stock with a par value of $100, when STRC falls below par in the secondary market, the market value of the reserve assets declines, leading to price fluctuations in the stablecoin. The protocol claims that its stability mechanism includes over-collateralization, a dividend adjustment mechanism, and cash and short-term U.S. Treasury reserves as buffers. Data shows that since last August, STRC has fallen below par four times, but has ultimately recovered to $100 each time. In response to market concerns about a chain liquidation in the Morpho lending market, Apyx indicated that its core apyUSD/apxUSD market primarily relies on accumulated dividend income rather than the spot price of STRC, so related fluctuations will not trigger large-scale liquidations.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Dow Jones Top Financial Services Headlines at 11 AM ET: Q&A: Bitcoin Funds Are Expanding. HANetf's Co-CEO Explains Why | Global ...
Q&A: Bitcoin Funds Are Expanding. HANetf's Co-CEO Explains Why Last week, London-based HANetf, an exchange-traded fund provider, launched the world's first euro-hedged bitcoin ETC-noting a shift in demand among its European client base. ---- Global Bond Turmoil Reveals the Surprising Resilience of Emerging Markets "It's very clear that EM is behaving differently than in the past, and EM is holding up better than expected." ---- U.K. Regulators Ready Green Light for $4 Billion ATM Tie-Up Between Brink's, NCR Atleos Authorities said the offer to sell off some parts of Brink's business should address concerns over the ATM operator's planned acquisition of its rival. ---- Choosing the Right Bond Strategy for Today's High-Yield World Before chasing higher rates, bond buyers have to figure out what type of investor they actually are. ---- Fed's Waller Sees Multiple Rate Increases Ahead to Cool Inflation In prepared remarks at the Istanbul Economic Forum, Christopher Waller said the economic data underscoring the need for interest-rate increases hasn't shifted much. ---- Financial Services Roundup: Market Talk Find insight on ABN Amro Bank, Standard Life and more in the latest Market Talks covering financial services. ---- Wells Fargo Faces Regulator Probe Over Efforts to Boost Black Homeownership Trump's Housing and Urban Development is seeking to crack down on race-based lending, calling it a potential violation of the Fair Housing Act. ---- Ripple, Crypto's Payments Giant, Breaks Into Wall Street The crypto firm is emerging as a serious player in financing leveraged ETFs, a lucrative business long dominated by big banks. ---- Venture Firm Behind Chip Startup Groq Targets $10 Billion Megafund Winning bets on hot AI startups are vaulting a little-known Dallas firm into a small group of firms raising gigantic funds. ---- How one trend-following fund outperformed rivals by bringing humans back into the decision-making process One trend-following fund has outperformed rivals this year by deciding to take profits. ---- Wal
--Starbucks Has Looked Into Takeover of Chipotle, Financial Times Reports
10:13 AM EDT, 10/08/2026 (MT Newswires) -- Price: 91.10, Change: -2.48, Percent Change: -2.65
NASDAQ TRADE HALT CONTINUES <SVA.O> REASON NOT AVAILABLE AT 09:52 AM
NASDAQ TRADE HALT CONTINUES REASON NOT AVAILABLE AT 09:52 AM
Why Brent Oil Just Snapped Back Above $105
Crypto prices
More
