Plasma (XPL) has experienced a dramatic 85% drop in its market value, with its price falling to $0.2014 from a peak of $1.50. The Layer-1 blockchain, launched in late September 2025 with backing from Peter Thiel, Tether, and Bitfinex, initially attracted significant interest, amassing over $63 billion in stablecoins and a total value locked (TVL) of nearly $84 billion. However, by November 23, 2025, the stablecoin supply had dwindled to $17.8 billion, and TVL had decreased to $27 billion. The initial surge was largely driven by yield farming, but as XPL's price fell, users began withdrawing their stablecoins. The regular increase in token supply has further pressured prices downward. An upcoming $18.13 million token unlock next week could exacerbate the situation.