Binance’s Oracle Failure Triggers USDe Depeg, Exposing Flaws in CeFi and DeFi System Design

A sudden oracle failure on Binance caused USDe to plummet to $0.65, revealing major flaws in the centralized price systems of both CeFi and DeFi. This event exposed the dangers of relying solely on a single platform’s pricing for stablecoin stability. The flash crash showcased that while technology plays a crucial role, trust and design also significantly impact a market’s resilience.