The stablecoin Titan lost 100% of its value last week, dropping in a matter of hours from around $60 to virtually zero. The case was revealed by American billionaire Mark Cuban, who lost nearly $75,000.

Titan belongs to the category of so-called algorithmic stablecoins, which aim for stability through an arbitrage mechanism on a pair of digital currencies. We are here in decentralized finance, DeFi. The involvement of a billionaire like Mark Cuban likely accelerated the rise of the Titan, which had all the signs of speculative overheating. Until the trend turns. Rising all the way to $65, the stablecoin fell back to $60, creating an onset of panic that only got worse, sending the crypto into the abyss, with everyone looking to get out at the same time.