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REDDIT

Built a circuit breaker for stablecoin depeg events on Uniswap v4 — here's what happened during testing

Most LPs don't realize how much they're losing during depeg events until it's too late.

When a stablecoin depegs, arbitrageurs drain both sides of the pool faster than any LP can manually react. By the time you notice, the damage is done.

I built a Stable Protection Hook on Uniswap v4 that addresses this directly:

* Monitors real-time peg deviation
* Applies directional fees — cheaper to swap toward peg, expensive away
* Circuit breaker fires automatically when deviation crosses threshold

The result: stabilizing swaps get cheaper, destabilizing swaps get more expensive, and liquidity stops draining during the worst moments.

Part of a larger AI-driven protocol — [Mantua](http://Mantua.AI) — live on Base testnet now. The full system combines 4 custom hooks with an autonomous agent layer that executes LP strategies from natural language input.

Open source if you want to dig into the mechanism: [https://github.com/DelleonMcglone/stableprotection-hook](https://github.com/DelleonMcglone/stableprotection-hook)

Running 1:1 sessions with early LPs stress-testing the system — book here if interested: [https://calendly.com/dbmcglone](https://calendly.com/dbmcglone)