There are centralized and decentralized stable coins too. The centralized ones are obviously easier to peg as it's all done by a central server, with all the pros and cons that involves. The decentralized ones, like DAI is no more than a smart contract running on a major decentralized blockchain, these will always try to stabilize, but during periods of severe volatility they can go up and down a few percent temporary.
It's just a side effect of delays that are part of every decentralized network. In return you get a stable coin that's just as anonymous and gives just as much control to you as any major truly decentralized cryptocurrency.
Are we on the brink of the collapse of the PetroDollar?!
Notable… though USDT and USDC seem to be stable
There are centralized and decentralized stable coins too. The centralized ones are obviously easier to peg as it's all done by a central server, with all the pros and cons that involves. The decentralized ones, like DAI is no more than a smart contract running on a major decentralized blockchain, these will always try to stabilize, but during periods of severe volatility they can go up and down a few percent temporary.
It's just a side effect of delays that are part of every decentralized network. In return you get a stable coin that's just as anonymous and gives just as much control to you as any major truly decentralized cryptocurrency.
UST is still kind of an experiment. Rumors of a coordinated attack to depeg terra and force massive liquidations.