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China’s internet users are paying close attention to the crypto crash


While China has banned cryptocurrency trading, its people remain interested in the ups and downs of the crypto market, not least because many of them have found workarounds and continue to buy and sell all sorts of tokens.
Bitcoin’s price continued to crater on Monday after a rough weekend, down more than 50% from its peak of $69,000 in November 2021 and nearing the $30,000 mark. As my colleague Jacquelyn wrote, the crash is happening in tandem with the depegging of algorithmic stablecoin terraUSD (UST).
A stablecoin is a digital currency that is pegged to a more stable reserve asset like the US dollar or gold and is designed to reduce volatility while offering the benefits of a digital currency, like speedy transactions. An algorithmic stablecoin is one that relies on algorithms to maintain a price similar to a central bank rather than holding actual cash in a reserve to back it. U …

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