Melting Iron: How to Lose $2b in One Day - DeFriday #5

Becoming a millionaire is easy.

Invest one billion into an algorithmic stablecoin! 

I kid, I kid. If you had invested $1 billion in the hot stablecoin protocol of this past week, you wouldn’t have $1 million. You might have $0.

In what must be the biggest protocol blowup ever, Iron Finance’s TITAN token ran up over the course of 2 weeks to a fully diluted market cap of $60 billion, then crashed to zero in one afternoon.

And what’s worse, IRON, the stablecoin that was supposed to be fixed at $1, broke peg and is now worth only $0.74: