Core DAO's 53% Faceplant: When Your Protocol Works 'Exactly as Designed'

Core ($CORE) just had one of those days. The cryptocurrency plummeted over 53% in the past 24 hours, crashing to roughly $0.031 – because nothing says 'trust in crypto' quite like a mid-week 50% wipeout.

The development team has now broken their silence. According to them, large-scale sell orders flooded the market, triggering a rapid liquidation chain on the Colend protocol. Basically, when the selling started, the dominoes fell fast.

In their statement, Core DAO was quick to point out that the protocol actually did its job – positions below collateral requirements got liquidated automatically, just like it's supposed to. They called it a "liquidation cascade" and noted the wave is largely over, with limited remaining risk in the system.

Translation: no technical malfunction here, just good old-fashioned market dynamics doing what market dynamics do.

For what it's worth, $CORE is still listed on major exchanges like Coinbase and Bybit. So there's that.

*This is not investment advice.