According to a report by Deep Tide TechFlow, Hu Zhihao pointed out in an article for the Economic Daily that in 2017, USDT faced a crisis of trust due to doubts about the authenticity of its reserves. In March 2023, USDC encountered a run due to some reserve assets being held in the bankrupt Silicon Valley Bank.
Even regulated stablecoins face challenges, while algorithmic stablecoins have experienced a 'death spiral.' Hu Zhihao emphasized that stablecoins need to be regulated due to their public good attributes. In the face of the stablecoin craze, one should recognize their essence, avoid harm while seeking benefits, and create a good ecosystem to promote the development of the digital economy.
