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Stablecoin Risk

Stablecoins can share a unit of account without sharing the same risk.

Why Pegged Assets Still Diverge​

Two dollar-denominated tokens can differ materially because of:

  • Reserve composition
  • Redemption access
  • Issuer jurisdiction
  • Legal structure
  • Stabilization mechanism

That means stablecoin pairs can develop basis even when both assets target one U.S. dollar.

Historical Stress Matters​

Public market history already shows that depegs are not theoretical. Different stablecoins have traded away from parity for different reasons, including reserve stress, issuer uncertainty, and fragile stabilization design.

Why This Matters For Ollo​

Ollo's research treats this as an FX-like problem:

  • The risk looks like issuer basis or credit spread risk
  • The exposure can be economically meaningful for treasury and trading users
  • The current market still lacks deep, standardized hedging tools

Current Product Versus Research Scope​

Ollo's current live product remains centered on FX perpetuals. Stablecoin-native basis markets are better understood today as part of the platform's broader research and design rationale.