Protocol for stablecoins Helio, the company behind the US dollar-pegged HAY stablecoin, announced on December 7 that it had purchased $3 million in bad debt in HAY on the open market.
Before that, blockchain infrastructure provider Ankr said that it would spend $15 million to repurchase bad debt caused by its recent exploit and the ensuing over circulation of HAY.
Following the Ankr exploit, HAY lost its peg and dropped to as low as $0.2 per coin before regaining the majority of its losses and trading at $0.97 at the time of publishing.
Immediately following the incident, the Helio team stated that it would repurchase the excess HAY and send it to a burn address. Originally, users could mint HAY by depositing BNB as collateral at a 152% ratio. Prior to the incident, the protocol had a total value locked of around $90 million.
After doing this process, the price of HAY has gradually regained its $1 peg.
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Harold
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