Stablecoin graphs plummet, backed by real estate, on path to recovery

The irony of the USDR collapse in October is that it occurred just days after the project published “proof of reserves” reports indicating Tangible indeed owned the real estate assets purportedly backing the token. According to Singh, the market should have been reassured by this information.

Singh highlighted the importance of transparency and accountability in the cryptocurrency space, noting that such incidents can erode trust among investors. The collapse of USDR serves as a cautionary tale for projects that fail to provide verifiable proof of their assets.

It is crucial for investors to conduct thorough due diligence before participating in any cryptocurrency project to mitigate the risks associated with potential collapses like that of USDR. Transparency and disclosure of asset reserves are essential for maintaining trust and credibility in the industry.