Bitcoin Forum

The Luna Foundation Guard (LFG) has raised $2.2 billion for its bitcoin reserve and hopes to hit $3 billion in the short term, with a longer-term goal of $10 billion, Terraform Labs CEO Do Kwon said in a series of tweets on Tuesday.

LFG, a Singapore-based non-profit working on the Terra blockchain, will use the bitcoin as a reserve asset for Terra (UST), the largest algorithmic stablecoin on the blockchain.

I've heard about it before, and I still don't get it: what's the point of using Bitcoin for a stable coin?

In my no doubt limited understanding it works like this: if Bitcoin goes up, the company makes a profit. If Bitcoin goes down, they're short on money. Who would invest in this if they'll only take the risk but not the profit?

There is an onchain mechanism in a way 1 UST would sell for $0.98 worth of BTC. If UST is trading below $0.98, people would be enticed to buy from the BTC reserve. If UST is trading above the pegged price, people would be enticed to sell for profit in a way the price of UST would maintain almost a stable value as a result of market participants trading BTC for UST and vice versa to make profit.

This is probably the reason why Bitcoin broke the $44K resistance and seems like it might hit $50K in the near term. Basically people are buying bitcoins and will most likely sell when he uses the remaining $450M which is still sitting in that wallet.

If the price of a bitcoin drops significantly and the value of the reserve is less than the nominal value of the UST, then UST won't be able to maintain the peg. Suppose for example when the reserve is only 50%, then only 50% of the UST can be redeemed and the rest is worthless.

Terraform Labs CEO Do Kwon said if bitcoin price crash, that it will have negative effect on UST

So let us say he believes in long term price of bitcoin.

IN BRIEF
The Luna Foundation Guard buys over 5,000 BTC.
The company’s Bitcoin reserves exceed $1.6 billion.
Terra’s founder aims to acquire $10 billion worth of Bitcoin.

Where does the 10 billion dollar come from? Is it paid by people who accept their made up UST token as payment?

Singapore-based Luna Foundation Guard (LFG), a nonprofit organization supporting the growth of the Terra ecosystem, has raised $1 billion through the sale of LUNA, the native token of the Terra blockchain.
The funding will go toward building a bitcoin-denominated foreign-exchange reserve for UST, an algorithmic-based stablecoin in the Terra ecosystem, according to a statement.
The funding round, which ranks among the largest in crypto history, was led by Jump Crypto and Three Arrows Capital, with participation from DeFiance Capital, Republic Capital, GSR Ventures and Tribe Capital, among others.

More info here: https://twitter.com/adam3us/status/1506274220048887810?s=20&t=P2vMva_0ai690duqG3XsnA

Singapore-based Luna Foundation Guard (LFG), a nonprofit organization supporting the growth of the Terra ecosystem, has raised $1 billion through the sale of LUNA, the native token of the Terra blockchain.

So rather than :
is actually means they have sold privately 1 billion worth from their own stashes as at launch Terraform Labs had 45% of the total supply of coins, basically the mother of all pre-mined coins and dev share ever.

any specific long-form article on how will LFG operate and how will the BTC reserves will used.

Again, I am. It here to shill LUNA or their tokens: I am here to think: “is it possible to build a decentralised, trust less bitcoin standard?

TERRA collaboration with Avalanche
https://twitter.com/terra_money/status/1512111691395473409?s=20&t=UmB0Ecs0QpZZNFUPiYDY5w
"6/ In particular, Avalanche’s subnets are a powerful method for building the next generation of scalable Web3 applications within niche use cases.
As a result, Terra and Avalanche will be collaborating on a new gaming subnet – with details to be released at a later time."

Well, this is disappointing.
One thing is to decide to hold “reserves” in Bitcoin, and one other is to hold in a DeFi shitcoin.

- both terra and avalanche are going down faster than BTC, good luck with their whatever stable coin

Bitcoin Faces a New Threat: Algorithmic Stablecoins -- Barrons.com
By Joe Light

(Dow Jones) -- Stablecoins are supposed to be the boring tokens of crypto--designed to maintain a fixed $1 value. But one of the fastest growing stablecoins--TerraUSD--may be creating new risks for Bitcoin and the broader crypto market.

Stablecoins act like digital dollars in crypto markets--many traders use them as a kind of parking spot for cash between trades. The largest ones are USD Coin and Tether, making up a combined 70% of the $186 billion stablecoin market.

Right behind them, however, is an "algorithmic" coin called TerraUSD. In the past year, its market cap has soared nearly 870% to $17.9 billion, making it the third largest stablecoin.

Like its more traditional peers, TerraUSD aims to maintain a fixed $1 price. But unlike its larger siblings--which maintain dollar-based reserves equal to their circulation--TerraUSD holds its peg by giving traders an arbitrage opportunity every time its price deviates from $1.

Terra's protocol allows traders to "burn" TerraUSD in exchange for a dollar's worth of another cryptocurrency called Luna. The trade makes a profit when TerraUSD's price falls below a dollar. It also works in reverse--preventing TerraUSD from rising above a dollar.

With a few exceptions, the system has largely worked to keep TerraUSD at a stable $1 price.

Yet Terra's backers appear to be going a step further to try and prevent TerraUSD from "breaking the buck." Terraform Labs founder Do Kwon recently pledged to stockpile a gigantic amount of crypto, including at least $10 billion in Bitcoin, to help backstop TerraUSD.

That is raising concerns that TerraUSD may not be as algorithmically stable as it would appear. And $10 billion isn't a trivial amount of Bitcoin to hold as a reserve asset tied to TerraUSD; if Terraform had to sell some of its Bitcoin to meet redemption requests for TerraUSD, it could destabilize the broader crypto market.

"The efforts to stabilize one crypto asset might create more instability in other crypto assets," said University of Calgary law professor Ryan Clements, who has researched stablecoins including TerraUSD. "If they have to redeem Bitcoin to support the peg, could that put downward pressure on Bitcoin? It would seem that would be the case, just logically."

Terra's algorithmic process has faltered. As the crypto market crashed in May 2021, TerraUSD temporarily broke its peg, moving to as low as 94.5 cents on the dollar, though it recovered within a week. Other algorithmic stablecoins, like one developed by Iron Finance, have completely collapsed.

One other concern is that much of the demand for TerraUSD comes from yield-seeking investors using a crypto savings product called Anchor Protocol. Anchor, which is built on the Terra blockchain network, currently offers a yield of more than 19.5%.

If investors lose confidence in Anchor and try to take their money out, it could lead to a cascading loss of demand for TerraUSD, potentially endangering its dollar-peg. That's where Bitcoin may come in.

To help prevent a run, Kwon and others formed the "Luna Foundation Guard, " a Singapore-based nonprofit that, among other tasks, would build a giant crypto reserve to support TerraUSD. With $10 billion worth of Bitcoin, it could soon become one of the largest holders in the world.

The problem, according to Clements and others, is that it's unclear whether the Bitcoin market has enough liquidity to absorb rapid selling from a Bitcoin holder that large. Just $32 billion worth of Bitcoin traded in the last 24 hours, according to CoinMarketCap, amounting to less than 4% of the coin's market cap of $811 billion.

"If you liquidate $50 billion in Treasuries, that's not going to tank the U.S. economy," said Clements. Bitcoin may be far more vulnerable to a wave of selling by the Luna Foundation, which could be the token's new "whale."

Terraform Labs and the Luna Foundation Guard did not respond to requests for comment.

Write to Joe Light at joe.light@barrons.com

(END) Dow Jones Newswires

Sun did not state which assets would serve as collateral but said they would be "highly liquid assets raised from initiators of the blockchain industry."

You can tell by many of these replies, that nobody actually read the first post and are doing nothing but posting non sense.

There is no doubt that Terra deserves to be the next bitcoin
<...>

Quick Take

• The Luna Foundation Guard (LFG) now holds $3.5 billion worth of bitcoin.
• LFG’s bitcoin stash is to prop up the collateral reserves of Terra’s stablecoin.

It was a momentary dip, followed by a quick, and almost complete recovery.

Seems like yet another TerraUSD dip happened tonight, and this time it was way more serious as it went all the way down to 0.93 but this time it didn't recover, at least not yet.

The price of algorithmic stablecoin UST fell to a new low on Monday amid continued volatility in the broader cryptocurrency market.

According to market data from Binance, which hosts the most voluminous market pair for UST against USDT, the stablecoin hit a low of $0.9202.

Today was a nasty day for the peg. It’s down to 0.60 and no signs of recovering.

Wonder if the peg will go back to $1.

Speaking of that, friend told me this morning that one of his buddies panic sold at $0.7, and he had six figure amount of TerraUST. Somehow I doubt that guy will touch stables ever again. 

If it happened once, the only question is when it will happen again.

You can hardly lose money in a more bizarre way if we are talking here about something that should be stablecoins - although one such move is quite obviously completely wrong and is the result of panic. As far as I can see the price has returned above $0.90, which once again shows that panic and inexperience are not a good combination when it comes to investing in cryptocurrencies.

I can imagine the chaos and panic if tether did the same...

I admit I haven't been following this topic very closely, but the more I dig into this topic, the less interesting I think the obvious consequences are

Today was a nasty day for the peg. It’s down to 0.60 and no signs of recovering. The dev already started to move the BTC into the exchanges and people are panic selling Bitcoin because they fear of the $1.5B sell order he can make. This was so massive that Bitcoin went below $30k even.

I've heard about it before, and I still don't get it: what's the point of using Bitcoin for a stable coin?
In my no doubt limited understanding it works like this: if Bitcoin goes up, the company makes a profit. If Bitcoin goes down, they're short on money. Who would invest in this if they'll only take the risk but not the profit?

The green slice represents the portion of LFG stash that is currently invested in BTC: correct, you can't see one.
I will later post a couple of post mortem analyses of what has just happened.

Profit from price change:   -489,356,486.9 USD

Early on I was browsing the Twitter feed from luna and god, there is such an unload of denial and copium there, every fleeced or near to be fleeced "investor" screaming how somebody destroyed this because it was threatening them...

Meanwhile, Luna:

Wait a minute:
https://bitinfocharts.com/bitcoin/address/bc1q9d4ywgfnd8h43da5tpcxcn6ajv590cg6d3tg6axemvljvt2k76zs50tv4q

Did they empty the whole address? Do they have zero coins left?
Wtf!!!!!!

Terra #LUNA has purchased an additional 37,863 #Bitcoin ($1.5 billion) for its reserve.

Who thought this was a good idea?

can we consider what happened to be price manipulation?

I honestly did. We have many reserves to “scare” attackers trying to depeg the stable coin.
But I underestimated human greed: if there is a profit easy to be made, someone will inevitably try to yield that.
So, this mechanism was challenged and failed miserably.

Now if it goes back to $1 levels, this is a $150 profit. ;D I hope that happens quickly.

According to this post (https://bitcointalk.org/index.php?topic=178336.msg60100331#msg60100331), someone earned hundreds of millions of dollars from shorting by manipulating UST and it's "backing". I don't know if it's true.

And for the reply guys, yes I know a lot of this involves some speculation & assumptions.  But a lot of money was made here either way, and I thought it would be cool to dive into how they did it.

I can't think of any logical way for this to work.

UPDATE, I just converted my $100 USDT to $250 UST, and it's my first time buying a "stable coin" because of the fluctuation.

Let's hope this will be a lesson for those trying to make a quick profit by adopting a "stable currency" and beginning to develop a better model.
Now if it goes back to $1 levels, this is a $150 profit. ;D I hope that happens quickly.

So far, this has been the fail of the year, and it won't be easy to top it.

While Bitcoin took two short dips (one a bit more substantial) under 30K due to the Terra/Luna fiasco, it was hit much less than I expected, taking into account that >50.000 BTC seem to have been sold by LFG alone (correct me if I'm wrong). But now Bitcoin's again at the same price level than before the issue.

We are in May only, plenty of time to nominate something for the Fail of the Year award in Community Award four 2022.

How come so many people are still so gullible/greedy after all those years of ICO scams and premined shitcoins?

Blackrock and Citadel borrowed 100K BTC from Gemini (it appears in their loan book). They swapped 25K of that BTC into UST; this was all done quietly in anticipation of the attack. When the time was right, they called up Do Kwon at Terra Foundation and said they wanted to sell a lot of BTC for UST. As it was a large trade they told him they didn't want to move the market and asked if he would like to buy their large block of BTC at a discount for UST. Do Kwan took the bait. He gave them a huge chunk of UST, thus lowering the UST liquidity significantly.

At that point, Blackrock/Citadel dumped all of the BTC and UST causing massive slippage and triggering a cascade of forced selling in both assets. The real problem was Blackrock/Citadel knew that Anchor, which holds a lot of LUNA, was a Ponzi scheme (they offer 20% staking APY for Christsake) and this crash would trigger more withdrawals than Anchor can repay. These forced withdrawals and selling would trigger a massive selloff in Luna, thus further breaking the $1 peg and wrecking the market further. Blackrock and Citadel can now buy the BTC back cheaply to repay the loan and pocket the difference. Meanwhile, billions of longs and Bitcoin VaR were wiped out.

This was pure market manipulation.

I just stumbled again upon this thread and was thinking ... well, maybe Terra is about to kickstart a new Bitcoin standard, but in a different way?

The article that is shared in that post is based on this tweet (https://twitter.com/OnChainWizard/status/1524123935570382851) and even that guy said at the end that there is a lot of speculation and assumptions in his scenario how all this played out. But yeah, point of all this was obviously for someone to exploit their faulty mechanism and make money no matter the details how it exactly happened.

We are in May only, plenty of time to nominate something for the Fail of the Year award in Community Award for 2022.

Theories on what really happened today are popping all over the internet, this is another one I stumbled upon in one Discord group. Dunno if it really makes sense but here it is:

Theories on what really happened today are popping all over the internet, this is another one I stumbled upon in one Discord group. Dunno if it really makes sense but here it is:

Basically you are claiming that Blackrock and Citadel sold BTC and UST at a huge loss hoping that they could turn it into a gain by buying it back at a lower price.

While Bitcoin took two short dips (one a bit more substantial) under 30K due to the Terra/Luna fiasco, it was hit much less than I expected, taking into account that >50.000 BTC seem to have been sold by LFG alone (correct me if I'm wrong). But now Bitcoin's again at the same price level than before the issue.

So Bitcoin, even in some very adverse situations, seems to be more stable than even a big stablecoin. It's likely that once the final TUSD/Luna crash became apparent, a lot of money could have been moved into Bitcoin because it seemed the "less worse" of all coins (excluding exchanges which offer "true" fiat money and not only stablecoins).

I'm pretty convinced that if Bitcoin doesn't take again a very deep crash in the next days, it will come out strengthened by this episode. People may be looking more critical at centralized stablecoins and will instead, if they're gambling with altcoins, be more lenient to convert their profits into BTC, like it was popular before stablecoins became ubiquitous, and Bitcoin becoming again the "standard" of the crypto world :)

I do not understand why Terra is [...]

A leveraged hand used insider knowledge to short UST and triggered a bank run. The reason the user had insider knowledge is because they had a detailed understanding of the Terra Ecosystem. Anyone with enough money, knowledge, and motivation could perform this attack, but the number of people capable of doing this is pretty small. Crypto barron or possibly a state actor, but that is speculation.

Long version

The attack was initiated by a liquidity provider who knew ahead of time that (via front-running/public chain observation via bots or other mechanisms) a major transaction (from LFG) moving through the system by paying a generous gas fee (around 34K, I’ll try to find the sources), dumped their UST onto exchanges, and destabilized the liquidity pool. The deviation of peg initiated a bank run, and panic selling at a loss caused the peg to spiral.

Part of the reason that the attacker was able to know about the the transaction ahead of time was because the speed of transactions moving through the system was set quite slow. the passed Agora Proposal has temporarily increased the minting speed which should help with front-running.

Front-running is a core issue here and it is a pervasive problem in many crypto projects. It will need to be addressed in the future, it is perhaps the primary issue that initiated the problem as the sophisticated and leveraged user had “insider information” not widely available to less sophisticated users.

The other problem is that there is no deposit guarantee (think FDIC) in this space. Secondary insurance is available to protect digital assets, but the utility of this is not broadly appreciated by the majority of crypto investors. The reasons bank runs do not occur in the US is not because the reserve backing of USD (because it doesn’t have one), but because the majority of people’s savings are backed by FDIC so even in times of crisis there is no reason to withdraw your money from banks.

It will take some time, but when the UST peg is restored, I suggest a mechanism for ensuring/gauranteeing deposits be explored. It is possible that [Proposal] Terra x Citadel DAO - Accelerating the growth of BTC/4pool is related to this, but unclear at the time. This is theoretically what the LFG was for, but clearly the mechanism is not strong enough and provides no real gaurantee to individuals on the ecosystem.

The thing is that Tera has not stopped minting its coin during the last 24 hours.

A leveraged hand used insider knowledge to short UST and triggered a bank run. The reason the user had insider knowledge is because they had a detailed understanding of the Terra Ecosystem. Anyone with enough money, knowledge, and motivation could perform this attack, but the number of people capable of doing this is pretty small. Crypto barron or possibly a state actor, but that is speculation.

True, plenty of time left but it will have to be spectacular to be bigger fail than this. Then again, knowing how unpredictable crypto market is, nothing is impossible.


Because there is constant influx of new people, while older ones that went through 2017 ICO boom and are still buying shitcoins like LUNA are nothing but degenerate gamblers.

---

Theories on what really happened today are popping all over the internet, this is another one I stumbled upon in one Discord group. Dunno if it really makes sense but here it is:

No it was deliberate destruction of a ponzi scheme.

20% interest yeah how that work out. I would like to think it is a true story and luna/ust has been killed.

UPDATE, I just converted my $100 USDT to $250 UST, and it's my first time buying a "stable coin" because of the fluctuation.

Cobie
Sir...?
May 08, 2022
justin sun
I am buying #UST. 👀

Do Kwon
Your Excellency what u up to 😳

https://twitter.com/cobie/status/1524042286404759552?t=NR2BfWOHGMjbGqkPJ6opXA&s=19 (https://twitter.com/cobie/status/1524042286404759552?t=NR2BfWOHGMjbGqkPJ6opXA&s=19)

May 09, 2022
I am seeding a #UST/ #USDD pool on @Uniswap! Come and Trade! 👀

https://twitter.com/justinsuntron/status/1523562576944140288?t=o7xF9UVjqpn_2QMnW-nojQ&s=19 (https://twitter.com/justinsuntron/status/1523562576944140288?t=o7xF9UVjqpn_2QMnW-nojQ&s=19)

May 10, 2022.
To safeguard the overall blockchain industry and crypto market, TRON DAO Reserve have bought 500 #BTC with average price 31031.35 for $15,515,675. #bitcoin

https://twitter.com/trondaoreserve/status/1523919860107202560?t=73d1GquLgL-AsPznxeEQHA&s=19 (https://twitter.com/trondaoreserve/status/1523919860107202560?t=73d1GquLgL-AsPznxeEQHA&s=19)

I do not understand why Terra is almost dead

The thing is that Tera has not stopped minting its coin during the last 24 hours.

Justin recently launched his USDD stablecoin.

I don't think Luna will make it to live again because it has gone as far below 0.04 as at this morning

In general, it is difficult for the price to return to $1, so unless something unique happens

I think that the price of both TERRA and UST will go to zero.

At the current depreciation levels, it will theoretically take luna only 4 days to reach the levels of inflation the Papermark has managed to do in two years in the Weimar republic.

What we are currently seeing with Luna and TerraUSD is not the first time it has happened with algorithm-based stablecoins. Already a few weeks ago something similar happened with Waves and its stablecoin USDN. The parallels are clear. Terra was mainly backed by Luna and Bitcoin, USDN mainly by Waves. I am now convinced that algorithmically based stablecoins backed by crypto are not really stablecoins. They can be stable, but they can also deviate strongly from the original value and travel the whole crypto market into the abyss.

The whole idea of a Bitcoin Standard is wrong: with the gold standard, a dollar was worth a certain amount of gold. With a Bitcoin Standard, a TerraShitcoin should have been worth a certain amount of Bitcoin. That would make it just another fake wrapped Bitcoin, so there's no point other than earning money for the creator.
You can't use one thing to peg something to something else.
That means the "Bitcoin Standard" is just as buzz word, typical for money grabbing schemes.

Call me a Bitcoin maximalist, but I view all these algorithmic stablecoins as just a new and more elaborate method for scamming investors and traders - we've seen quite enough rugpulls, hacks (that could be just inside jobs), premine dumps, pump and dump schemes. So the fact that some shitcoin project owns a lot of BTC to support the price of their token doesn't mean anything - in the long run they will have to liquidate more and more BTC to support the price. I don't see any reason why would the masses want to adopt this token, and that's the thing that most people ignore - it doesn't matter if a token has web3, NFT, smart contracts, zero fees and all the other stuff that is there to attract investors; without real users such product is doomed.

It's below one cent, 0.008.
I find it funny how a lot of bagholders that are screaming now about how this has happened were the same people mocking Warren Buffett on Twitter for being an old fart and not understanding how revolutionary Defi is.

This isn't the first time DeFi and algorithmic token resulted in a disaster, and not the last one.

Well, I won't be so sure about this.
What is a BTC on the lightning network? Those are satoshi outside the blockchain pegged to Satoshis on the blockchain.

Is a bitcoin on the Lightning Network less a bitcoin than the ones on the blockchain? I doubt so.

Taro, for example, will open a lot of possibilities to enable tokens on the BTC technology. How will be this different from a Bitcoin Standard?

We see Taro as an important step in bitcoinizing the dollar, getting the best of both worlds by 1) issuing assets like stablecoins on the most decentralized and secure blockchain, bitcoin and 2) allowing users to transact on the fastest global payments network with the lowest fees, Lightning.

This was the main purpose of this thread, without getting too interest in LUNA's fate. But of course, things in this universe happen often faster than thought.

TL;DR: if you want a Bitcoin Standard, forget about dollars ;)

I don’t know where you got the idea of a dollar related bitcoin standard; maybe I wasn’t clear about this.

My idea of the bitcoin standard is precisely what you described with your El Salvo coins

Of course, this ElSalvo token must enable some unique feature To justify its existence and use instead of bitcoin itself.

I have also heard that Do Kown shorted his luna after selling his reserve BTC in a loss.

I do not know if luna could be rebuilt or not but it will be one of the biggest disasters in crypto history and shows us sometimes how vulnerable Defi could be. May be team could save luna by leaving UST.

Some things don't deserve to be saved.  Either something survives on merit or it dies.  And Darwin is practically fucking the corpse now.  

This thing is dead.  It's meant to be this way.

I do not understand why Terra is almost dead and even stable Terra coins are also valued cheaper, I try to find any information about Terra but it seems that information is only speculation that is the fulfillment of Ust holders so that they sell Ust while Ust enthusiasts continue to decline and make prices corrected by more than 40%.

I just saw an interesting tweet from November 2021 in which one user explained how its possible to break Terra and make shit load of money in the process and all you need to do it is 1 billion usd. And of course having "detailed understanding of the Terra Ecosystem". Do Kwon reaction aged well.

Jesus, you all are probably going to think I'm an order of magnitude more retarded than usual, but I'm just now learning what UST is and its relationship to Luna and whatever else....I know I don't follow a lot of altcoins, but it seems like this is a very big deal.  

But hey, I had some cash yesterday and bought a little BTC at my local gas station BTCATM.  Sucks for the crypto community as a whole, but I actually like to buy low.

I just saw an interesting tweet from November 2021 in which one user explained how its possible to break Terra and make shit load of money in the process and all you need to do it is 1 billion usd. And of course having "detailed understanding of the Terra Ecosystem". Do Kwon reaction didn't age well.

https://i.postimg.cc/FKbGTgYt/Screenshot-2022-05-12-at-18-05-47-Do-Kwon-on-Twitter.png
Twitter thread: https://twitter.com/FreddieRaynolds/status/1463960623402913797

I saw this thread elsewhere, and came here to post it, but I just discovered that I had somehow missed your post.

This is what I like in crypto: imagination is the only limit: if you can think it, it will happen sooner or later.
Finding 1B capital could be the most difficult part for most, but if the plan is well organized, then the funds will come.

This is what I like in crypto: imagination is the only limit: if you can think it, it will happen sooner or later.
Finding 1B capital could be the most difficult part for most, but if the plan is well organized, then the funds will come.

I saw an interview with him where he said 95% of coins will die and it's also entertaining to see some projects die. I have also checked his tweet and most of them show his ego and pride. Somewhere he was threatening other's projects by saying he will destroy them and in someplace he says he love chaos. That man is a lunatic a he gets what he deserves.

He said a  lot of bs on twitter, but the biggest one is when he was trying to calm the people down just in order to dump on them his worthless shitcoin. I do feel sorry for all people that lost money in this, but some were so greedy that even after shit hit the fan, they tried to profit from it and got seriously rekt in the process, like the guy in the screenshot below who converted all his BTC to LUNA. All in all, good riddance.

He said a  lot of bs on twitter, but the biggest one is when he was trying to calm the people down just in order to dump on them his worthless shitcoin. I do feel sorry for all people that lost money in this, but some were so greedy that even after shit hit the fan, they tried to profit from it and got seriously rekt in the process, like the guy in the screenshot below who converted all his BTC to LUNA. All in all, good riddance.

https://i.postimg.cc/GpJP5xB6/luna1.jpg  

Someone in my Facebook friend list posted this, i am not sure if its true or not. "If you had bought the luna at its bottom $0.000001 for $1000 it would be worth more than $400K in just 3 days. I know people who made it this far and then there are people who lost millions of $$ in and was too afraid to get back in"

Can someone tell me where can I buy terra luna ??

Some things don't deserve to be saved.  Either something survives on merit or it dies.  And Darwin is practically fucking the corpse now. 

This thing is dead.  It's meant to be this way.

Did you not read the rest of the topic?  People are getting shafted and you want to get involved because some random on social media is trying to create some hype, presumably to give themselves the opportunity to get out?  Think this through to conclusion, please.

On the same interview another very interesting point, the one I was actually thinking about, was raised to the attention: WHAT is Terra? Can we think as a stable coin only? Or being backed, or if not properly backed, at least "assisted" by a BTC treasury, is in reality something different?

It is obviously something different from LN: which is a layer 2 solution allowing users to transact off chain having some BTC " pegged" to their channel.
Here, the concept is quite similar, as UST, if not properly "backed" by BTC is maybe "assisted" by BTC reserves.
The difference is of course in the monetary policy of the two systems: while LN is tied 1:1 with Bitcoin, being essentially LN a "representation " of a (future) state of the blockchain, the UST is tied to the USD, and thus, being stable to the USD, inherits the USD monetary policy.
We could think of mix situation, where a coin is tied not to BTC (deflationary monetary policy), not to the USD (inflationary monetary policy), but to the real purchasing power of the USD (and BTC)

I don’t know where you got the idea of a dollar related bitcoin standard; maybe I wasn’t clear about this.
My idea of the bitcoin standard is precisely what you described with your El Salvo coins—issued with Taro over LN.
Of course, this ElSalvo token must enable some unique feature To justify its existence and use instead of bitcoin itself.

Did you not read the rest of the topic?  People are getting shafted and you want to get involved because some random on social media is trying to create some hype, presumably to give themselves the opportunity to get out?  Think this through to conclusion, please.

1/ As of Saturday, May 7, 2022, the Luna Foundation Guard held a reserve consisting of the following assets:
· 80,394 $BTC
· 39,914 $BNB
· 26,281,671 $USDT
· 23,555,590 $USDC
· 1,973,554 $AVAX
· 697,344 $UST
· 1,691,261 $LUNA

LFG | Luna Foundation Guard
@LFG_org
·
2h
8/ As of now, the Foundation’s remaining reserves consist of the following assets:
· 313 $BTC
· 39,914 $BNB
· 1,973,554 $AVAX
· 1,847,079,725 $UST
· 222,713,007 $LUNA (of which 221,021,746 is currently staked with validators)

Taro, for example, will open a lot of possibilities to enable tokens on the BTC technology.

https://mobile.twitter.com/LFG_org/status/1526126703046582272

4/ Transferred 52,189 $BTC to trade with a counterparty, net of an excess of 5,313 $BTC that they have returned, for an aggregate 1,515,689,462 $UST
6/ ​​Sold 33,206 $BTC for an aggregate 1,164,018,521 $UST

Following the collapse of Terra’s UST stablecoin, questions have been asked about the fate of the $3.5 billion in Bitcoin (BTC) held in reserve to help prevent exactly such an outcome. We use Elliptic’s blockchain analytics tools to follow the BTC reserves as they were moved following UST's fall.

Did you not read the rest of the topic?  People are getting shafted and you want to get involved because some random on social media is trying to create some hype, presumably to give themselves the opportunity to get out?  Think this through to conclusion, please.

Sir I just posted it here to get advice from experienced guys that whether it's good to invest in LUNA at the moment or not? Previously we have seen many coins coming back to original prices after falling to ground. Still efforts are there to revive LUNA.

Terra is working to revive LUNA. Will it revisit its old glory? (https://www.google.com/amp/s/m.economictimes.com/markets/cryptocurrency/terra-is-working-to-revive-luna-will-it-revisit-its-old-glory/amp_articleshow/91596856.cms)

Sir I just posted it here to get advice from experienced guys that whether it's good to invest in LUNA at the moment or not?

Did these morons actually sell their BTC for their stable coin which was going down in flames and still not manages to keep it afloat?
Why didn't they let it go all the way down and then buy it back when there was no more printing involved?

Sir I just posted it here to get advice from experienced guys that whether it's good to invest in LUNA at the moment or not? Previously we have seen many coins coming back to original prices after falling to ground. Still efforts are there to revive LUNA.

UPDATE, I just converted my $100 USDT to $250 UST, and it's my first time buying a "stable coin" because of the fluctuation.

Let's hope this will be a lesson for those trying to make a quick profit by adopting a "stable currency" and beginning to develop a better model.

UST isn't backed by anything anymore. I'm surprised it still has 1.4 billion dollar market cap and 12 cents per coin. I'd say it's pure speculation.

Due to the de-pegging of UST, LUNA is experiencing extreme volatility

Sir I just posted it here to get advice from experienced guys that whether it's good to invest in LUNA at the moment or not? Previously we have seen many coins coming back to original prices after falling to ground.

And surprisingly Terra still has a market cap of 1.1 billion, with about 6 trillion coins printed, price is $0.0001 right now [...]

Now I doubt the current circulation is true as they removed the online data from their website.
Two days ago it was possible to track the circulation of LUNA in real time.

How's this going? It's kinda ironic you mentioned turning it into a lesson.
UST isn't backed by anything anymore. I'm surprised it still has 1.4 billion dollar market cap and 12 cents per coin. I'd say it's pure speculation.

UPDATE, After about 30 hours, I can say that what happen with LUNA is profitable, someone made a lot of money. As for what happened to me:

I deposited $100 USDT to 250 UST and after a few deal I made:

 - $150 USDT
 - 0.00341824 Bitcoin (BTC)
 - 70 USDT eq= 30.64600 US$ (will sold it within 3 hours)

And surprisingly Terra still has a market cap of 1.1 billion, with about 6 trillion coins printed, price is $0.0001 right now, basically, they could just print a quadrillion and even if it goes to $0.0000001 they would still be worth 1 billion.

How's this going? It's kinda ironic you mentioned turning it into a lesson.
UST isn't backed by anything anymore. I'm surprised it still has 1.4 billion dollar market cap and 12 cents per coin. I'd say it's pure speculation.

Judging by this post, he already sold UST for bitcoin, with profit. Well, at least I hope he stick to that plan and sold within 3 hours.

Yes, I sold, from the moment I saw the collapse of Luna's price and the infinite print I was sure that the project was dead. ;D

I think it will be the case of the year, because there is something wrong with the project (not about SHITCOIN or Bitcoin Standard only,) I don't think that selling 80,000 bitcoins will not fix UST/LUNA unless there is an algorithm failure or price manipulation, or scam.

Good move, you probably exited at the last moment. I also thought about gambling 100-200 dollars but in the end I gave up as i suck as a trader and would probably just lose the money.

I think it will be the case of the year, because there is something wrong with the project (not about SHITCOIN or Bitcoin Standard only,) I don't think that selling 80,000 bitcoins will not fix UST/LUNA unless there is an algorithm failure or price manipulation, or scam.
If a thorough investigation is conducted, we may get some new information.

Nowadays some people are eager to bet on these altcoin where they expect huge profits if they manage to recover, but either way this might be something irrational as only a miracle can bring UST and Luna back to $1.

I'm not going to do anything ^{[invest or trade]} other than just maybe hearing that UST and Luna will eventually become shitcoin in the near future.

I don't know what will happen to Luna or UST in the future although I also feel sure it won't get any better. But I personally have put $250 in there just to profit from the price volatility. Hopefully I can make a profit, but of course I'm trying to convince myself that $250 isn't going to be $2500 any time soon. Even if I have to fail, it's already considered a loss this year. LOL

I'm not going to do anything ^{[invest or trade]} other than just maybe hearing that UST and Luna will eventually become shitcoin in the near future.

In a tweet summarizing the proposal, Kwon suggested that the “old” chain be referred to as Terra Classic going forward. The existing LUNA cryptocurrency (which plunged from an all-time high of $116 to $0.0001733) would be renamed Luna Classic, or LUNC.

https://i.ibb.co/tmsxf1d/60168555.png (https://twitter.com/stablekwon/status/1526896786685583360?s=21&t=FYlHVrSkBxHlgqHOGjo5ag)

The new forked chain’s currency would then be referred to as LUNA. Notably, Kwon wrote on Monday that the new chain would not have UST on it.

The in-house legal team at Terraform Labs resigned shortly after the collapse of Terra’s algorithmic stablecoin wrought havoc on crypto markets.

A person familiar with the matter told The Block that legal operations are now being handled by outside counsel.

That really depends when you bought LUNA; if you bought it when price was $0.01, then I think that you can forget about the investemnt, but if you bought it around the current price, then you could maybe end up in profit as there will probably be few more pump&dump cycles before it gets delisted/forked/whatever

Oh yeah, ridiculous. Please note that he's referring to LUNA Classic, as in ETH Classic. Where the community forked the chain to unwind the mess done by the central authority.
In this case is central authority unwinding the mess done by themself.
How Ironic.


But there are many ironic thinks in this story.

Just the first one:

Terraform Labs’ legal team resigns after UST collapse (https://www.theblockcrypto.com/post/147390/terraform-labs-legal-team-resigns-after-ust-collapse)


How comes the Bitcoin legal teams has never resigned?
Oh, wait.

I read a couple of news today, that made me start wondering what kind of shitshow Luna has now become.
I also feel horrible for being so stupid to think about the original question that started this thread.

There is no point in feeling bad about the initial question, because while some doubted the meaning of the whole thing, few could have predicted that such a catastrophe would happen.

The only sustainable source of yield is sustainable economic return, which in turn depends on the positive-sum game of employing capital to meet consumer needs in the real economy. Whether distributed to investors or not, yield is the generated flow above maintenance costs or depreciation of the carrying capacity of some stock of economically productive assets. The revenue of any new business must eventually and sustainably exceed its expenses to provide the raw material for distributable yield. There is no other source. Calling something “yield” does not make it yield.

Now since obviously terra/luna/2.0/11.0 won't do in the future anything remarkable other than dying faster than they climbed in the Twitter wall of spam fame, I was a bit intrigued by another token !

Why just why?

Now since obviously terra/luna/2.0/11.0 won't do in the future anything remarkable other than dying faster than they climbed in the Twitter wall of spam fame, I was a bit intrigued by another token !

Unfortunately I have gambled with them before, but in the end I lost. LOL

The short term advantage is obvious to those who have a lot of bets.

Now I think everyone who owns these two coins is a person who still wants to bet with time until they finally realize they are out very late.