Back | Blog
Krystle Blough

Krystle Blough β€’ β€’ DeFi

Volatility Alerts: Know immediately when stablecoins are losing their peg

Cover Image for Volatility Alerts: Know immediately when stablecoins are losing their peg

Be the first to know when a stablecoin is unraveling 😰

With the recent collapse of FTX, many defi enthusiasts are getting concerned over the stability of stablecoins. The de-pegging of a stablecoin from the US dollar can be an early sign of severe market volatility.
While it's not uncommon for stablecoin price to decline and then recover, as pointed out by CryptoQuant senior analyst Julio Moreno, it can also be good to set up your own alarm system based on your risk tolerance.
Here are 3 alerts you can customize to notify you as soon as a stablecoin drops a certain percentage below the US dollar. They're configured to send the alert via email, but can also notify you on Telegram, Discord, Slack, and Twitter.

πŸ“Ί Want to see them in action? Watch a 1 minute video demo.

Tether (USDT) Peg Loss Alert

According to Arpit Gupta, Associate Professor of Finance at NYU, Tether is at high risk:

With high exposure to FTX, and persistent questions about whether reserves actually exist β€” Tether remains at risk of a bank run which will devastate crypto ecosystem.

Get free price alerts if Tether (USDT) value drops below $1

USD Coin (USDC) Peg Loss Alert

According to Forbes, many investors are flocking to USDC as an alternative to Tether because it's seen as a safer, more transparent stablecoin. If you have skin in the game, though, it might be a good idea to watch its peg too.

Get free price alerts if USDC value drops below $1

Binance USD (BUSD) Peg Loss Alert

BUSD is the third largest stablecoin by market cap and recently made news after an FTX exploiter converted BNB into $5 million of BUSD. While it's not directly related to FTX, all stablecoins are vulnerable to contagion (especially if Tether depegs) so you might want to keep a close eye on it just in case.

Get free price alerts if BUSD value drops below $1

***

The default threshold in all of these alerts is 95 cents to the US dollar (5%) but you can adjust that as shown in this video: https://www.youtube.com/shorts/zpWmwYonrIE

Reminder: This is not financial advice.

***

Need any help? Join our Discord or email us: info@boto.io

Explore all of our no-code bot recipes, created and shared by people like you: https://boto.io/bots

Check out what we’re up to on Twitter and YouTube!

boto-logo

DeFi

Crypto

Coingecko

Share
Krystle BloughAbout Krystle

Krystle Blough is the Head of Community at Boto.io and has been working in education & automation for 15+ years. She has presented at CMX Summit and Wikimania conferences about her experience in increasing adoption of emerging technology. She ran a 50k trail marathon once and now people think she runs fast (false).

​
Related Articles