Apyx's Synthetic Stablecoin apxUSD Slides 36% as STRC Collateral Drops

apxUSD, the synthetic stablecoin created by Apyx Finance, has broken away from its dollar peg as investors scrutinize the token's collateral makeup. The token, which is largely backed by Strategy's preferred-stock instrument STRC, fell as much as 36% intraday from around $1. It was last trading just below $0.76. Apyx Finance describes the product on its website as a "dividendbacked dollar protocol" that turns preferred-stock assets issued by Digital Asset Treasury companies into digital dollars. The project says it targets doubledigit returns by using diversified baskets of preferred shares. Project documentation shows apxUSD currently relies on STRC as its primary collateral. STRC is a variablerate, nonconvertible, perpetual preferred stock issued by Strategy, structured with a $100 nominal value per share and dividends set and paid monthly. STRC's sharp price decline has fueled doubts about apxUSD's ability to hold its peg. STRC sank to as low as $73.62 during the session before rebounding to trade around $78, prompting debate over the quality of apxUSD's backing and whether the stablecoin can return to $1. Crypto investor Vinny Lingham said it would be extremely difficult for STRC to recover to $100. He argued STRC would need to trade at roughly a 20% discount to deliver an effective return of $14.5, adding, "The market speaks for itself. Damage has been done." Lingham also said Strategy founder Michael Saylor's next moves have become more challenging, comparing the setup to "zugzwang" in chess, where any forced move worsens a player's position. This is not investment advice.