⚠️ DWF LABS' USDF STABLECOIN CRISIS
@DWFLabs' $540 million $USDf stablecoin just depegged to $0.98, and the backing looks murky as hell.
Claims 117% collateralization, but 96% of reserves are held OFF-CHAIN... trust me bro 🧵
🤡 The "transparency" is laughable.
$610M of the $635M backing is categorized as just "Stablecoins" (15%) and "Others" (85%).
No mention of liquidity, volatility, or what happens if they need to liquidate.
Even the auditor admits they can't verify ownership.
🧐 Theory brewing.
DWF Labs may be using illiquid shitcoins they market-make as USDf backing - essentially creating exit liquidity for their own bags.
It's the Michael Egorov $CRV playbook all over again, but with a $540M stablecoin instead of DeFi loans.
📃 DWF Labs has a rap sheet longer than a CVS receipt.
Pump-and-dump accusations, wash trading allegations, and that time a partner allegedly tried to drug a job candidate in Hong Kong.
Now they're running a half-billion dollar stablecoin.
What could go wrong?
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