Apyx’s equity-backed stablecoin depegged as Bitcoin fell below $63,000, with reserves tied to STRC shares trading below par value.
Apyx’s apxUSD stablecoin briefly traded at $0.93 on Wednesday as Bitcoin dipped below $63,000. The depeg occurred amid broader crypto market volatility, though the protocol described it as an expected feature of its design rather than a flaw.
The stablecoin is primarily collateralized by preferred equity in digital asset treasury firms, including Strategy’s STRC shares, which have a $100 par value. Additional reserves include short-term U.S. Treasuries and cash equivalents to mitigate liquidity risks. Apyx’s two-token system separates the base stablecoin (apxUSD) from a yield-bearing token (apyUSD), which distributes dividends from underlying assets.
Apyx stated that overcollateralization, dividend mechanisms, and limited liquidation risk in Morpho markets help cushion volatility. However, the stablecoin’s value remains sensitive to fluctuations in STRC shares, which traded below their $100 par value during the downturn.