The team behind First Digital USD (CRYPTO: FDUSD) addressed concerns regarding financial stability Wednesday after the dollar-backed stablecoin briefly depegged following allegations of insolvency by cryptocurrency entrepreneur Justin Sun.
What Happened: First Digital confirmed that it has processed the initial redemptions following the FUD. It also assured that FDUSD is fully backed 1:1 and that their redemption channels are functioning smoothly.
The controversy erupted when Tron (CRYPTO: TRX) founder Justin Sun raised concerns about the company’s solvency and its ability to honor client redemptions.
“I strongly recommend that users take immediate action to secure their assets. There are significant …
