Andre Cronje, one of the most prolific DeFi developers, was seen doing some coding for the Phantom stablecoin platform, following which the Phantom native token, FTM, is up over 6% today.
Github data shows that the developer’s coding overtook the intraday FTM price rally from a low of $0.3243 to a high of $0.3755 to outperform all top 100 cryptos.
At the time of writing, FTM was trading at $0.3599, up 6.78% over the past 24 hours.
Cronje Back in the Crypto Space
In early March, Cronje and Anton Nel announced that they had left the Phantom and crypto space at large. His announcement led to a sharp selloff of the coin which it was struggling to recover from.
Additionally, earlier in April, the developer announced in a blog post that “Crypto is dead” Calling for more crypto regulations. He had also stated that he had no intention of returning to the crypto space, but his LinkedIn profile shows that he is currently heading an investment banking platform.
However, their comeback comes at a difficult time when FUSD, the stablecoin of Phantom, has been slowly de-pegging over the past week and is yet to recover. Its de-pegging comes after Terra UST de-pegged the US dollar, making investors more suspicious of stablecoins.
working on the phantom disaster
It appears that Cronje is working on the Phantom FMint protocol, a platform on which FUSD is mined. The move comes amid market pressure that has de-pegged the FUSD stablecoin, moreover, the changes Phantom has made to its stablecoin mechanism also appears to pull down FUSD, which is still trading at $ 1 peg ($0.7013, down 12.74%).
New FIP out!
Read on to learn about the proposed changes to sFTM and fUSD.
To address:
– liquidation
– How to pay off outstanding debt
– LTV and mining limitsWe welcome everyone to leave a comment on Github.
https://t.co/3wV6Q7jJFg
— Phantom Foundation (@PhantomFDN) 20 May 2022
The protocol outlined some measures to maintain the position through stablecoins, but did not specify that it would allow the situation to be covered.
The FUSD interest rate is expected to rise but gradually as per the FUSD de-pegging, it seems that traders are not yet convinced of the move.