StableGains
Promised safe 15% yields. Put it all in one basket. Lost $42M of customer money.
AUTOPSY REPORT
YC W22 startup that promised up to 15% annual yields on US dollar deposits, claiming to diversify across multiple stablecoins for safety. Instead, the company dumped nearly all $42M of customer funds into a single product — Anchor Protocol on Terra/Luna — without telling users, then lost everything when the $60B Terra ecosystem collapsed overnight . 4,878 customers lost their deposits. StableGains never disclosed the concentration risk. A class action lawsuit accused the founders of fraud and misrepresentation. The company had marketed itself as a safe alternative to traditional savings accounts — the pitch that worked perfectly on YC Demo Day.
TIMELINE
Satirical project. Not affiliated with Y Combinator. All information from public records.