Anchor Protocol (ANC) fell 95% in a few days due to the sharp drop in total deposits on the protocol, the de-peg of TerraUSD, and the problem with liquidity pools. Terra (LUNA), TerraUSD (UST) and the 4pool crisis are what triggered the collapse of Anchor Protocol. The ANC token, which was priced at $2.03 prior to the crash, is currently trading at $0.126.
Anchor Relies on UST for Operations
The UST's price, which should have been pegged to the US dollar, fell a lot, leading to massive ANC selling. The algorithmic stablecoin UST is currently trading at $0.62, deviating 38% from its intended price.
