Key Notes
- DeFi protocol Solstice intervened and restored the USX price close to $1 through liquidity injections.
- Solstice said the de-peg did not affect underlying collateral.
- It also added that the net asset value is intact and 1:1 redemptions are continuing normally.
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USX, the Solana-based stablecoin from Solstice, suffered a major de-peg event with its price dropping as low as $0.1. However, the team behind the DeFi protocol, Solstice, stepped in to address the issue. It has restored the peg to $0.99, as of press time.
USX is recovering after overnight DEX volatility. Liquidity has been injected, backing remains overcollateralized and intact. https://t.co/fQKjJjJIZz
Here’s the breakdown:
1/ What happened?
Starting Dec 26, beginning around 01:45 UTC, sell pressure on Orca and Raydium… https://t.co/PEfvV0so8N pic.twitter.com/8iAKJ99SuJ
— Solstice (@solsticefi) December 26, 2025
Solstice’s Solana-based USX Stablecoin Faces Major De-Peg
The USX stablecoin on the Solana blockchain briefly lost its peg on secondary markets after a liquidity drain triggered sharp selling pressure. During the incident, USX fell to $0.10, raising short-term concerns among market participants.
The Solstice stablecoin launched in September 2025, in partnership with other blockchain networks such as Chainlink. However, such an incident could prove to be a roadblock to the stablecoin’s growth in the future.
USX Stablecoin Depeg | Source: PeckShield Alert
Decentralized finance (DeFi) protocol Solstice was aware of the spike in volatility affecting the USX stablecoin in secondary markets and addressed it. The team stated that the disruption was limited to liquidity conditions and did not impact the asset’s underlying backing.
In a statement released late Tuesday, the company said the net asset value (NAV) of USX. Solstice also added that the custodied assets supporting the stablecoin are secure and more than 100% collateralized.
The DeFi protocol said that it is open to a third-party attestation to verify the reserves independently. According to the platform, the de-peg occurred primarily due to a secondary-market liquidity imbalance rather than any issue with the collateral or redemptions.
“This is purely a secondary market liquidity issue that both the Solstice team and our market makers are addressing immediately. We will continue to inject liquidity into the secondary markets to ensure stability,” it noted.
Solstice also claimed that the 1:1 redemptions are continuing to operate normally. The company emphasized that the volatility did not impact its internal operations and reserve structure.
Crypto Community Raises Concerns
Following the depegging of the Solana-based USX stablecoin by DeFi protocol Solstice, the crypto community has raised concerns on X about the stability of the coin.
Today $USX from solstice was depegged
On Orca from 1$ to 0.1$ (and in other Dex dumping to 0.8$)
luckily the stable got recovered, but these stable look like not very stable lol
be safe on these projects guys, on November i say something about the project and why I decided… pic.twitter.com/zNsfBC8lqR
— Boku No Crypto (@BokuNoCrypto) December 26, 2025
Unlike previous instances, today’s depegging occurred despite little volatility in the crypto space.
. @solsticefi stablecoin $USX depegged to $0.8 đź’€
now it’s back to $0.99 but it’s so scary we don’t need another luna UST
i am getting out of my stablecoin position until all the fud is over. it’s better than sorry
presale also did not go well & lots of fud
stay safe 🙏🏻 pic.twitter.com/kqnTOMuXdR
— Ryuzaki SEI (@Ryuzaki_SEI) December 26, 2025
As a result of this de-peg, the trading volume for USX stablecoin has shot up by 500% to $17 million.
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Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.