Balance Coin (BLC)

Yesterday, the stablecoin called BLC plunged 99% in a single day. It should have been $1, but dropped to $0.001—practically worthless.

Don’t get it wrong: this isn’t a “dollar‑backed” type like USDC or USDT. It was a copy of MakerDAO that issued tokens backed by Bitcoin as collateral. So it’s a different story from the major stablecoins.

The way it was attacked is a bit interesting. The attacker fed a false price of “Bitcoin crashing” into the system. By deceiving the price‑oracle component, they forced the collateral—normally safe—to be liquidated forcibly, siphoning off over $900,000.

The biggest folly is that the original MakerDAO has safety mechanisms that reject abnormal prices. This copy only mimicked the liquidation mechanism and left out that safety guard. It’s like a car that has an engine but no brakes.

This isn’t saying all stablecoins are risky. On the contrary, I think it highlights how little we actually know about what “safe” really means.

Much of what we consider safe is not because of the thing itself, but because we trust the hidden plumbing that supports it. If one pipe lies, the $1 sign disappears overnight.

What does safety even mean? It forced me to rethink it.

(Analysis sources: security firms SlowMist / PeckShield)
▼SlowMist: https://t.co/GDZWSDPFbR
▼PeckShield: https://t.co/NnrTBEY9am