> So far all algorithmically backed stablecoins have failed. Remember Terra Luna.

So that's a sample size of 2, and from those 2, 1 has failed. Not exactly "all"

I gave you the most dramatic example. So far no undercollateralized, algorithmically backed $1 stablecoin has sustained a reliable peg at scale over multiple years.

Zero. Nada. There was always somebody somewhere exploiting it.

TerraUSD USN USDN Basic Cash

All failures so far, every time a death spiral.

FRAX started as algorithmic and had to move to over collateralization

Same with DAI

You really can’t call them like that once they become backed by USDC