The news szerint Metamask reached an all-time high in terms of the number of swaps during the weekend, from which they were able to profit significantly. The new milestone occurred when the crypto-friendly banks Silvergate and Signature were forced to declare bankruptcy.
Group manager of portfolio provider, Dan Finlay saidthat a large part of this number was related to the uncertainty of how the bank closures will take place.
“It’s just a big dose of speculative panic. People don’t know what to trust. Everyone took a huge step in response to the situation. They seem to want something stable.” Dan Finlay stated.
On Friday, the USDC issuer, Circle, announced that $3.3 billion of its cash reserves were stuck with Silicon Valley Bank. As soon as the news broke, an incredible wave of sales began.
“People were betting and they were scared that some of their stablecoins were going to drop in price. DAI has also fallen because most of its collateral is now in USDC.” continued the group leader.
According to Finlay, the company made about $1.5 million in swap fees as volume took off.
“People flee to crypto in many situations. We see that every time a systemic shock like this unfolds, people look at it again and say, hey, wait, this is going to last. So this might be especially good for crypto.” Finlay said.
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