Is TERRA/Luna kickstarting a new Bitcoin Standard?

[fillippone]

I am lagging behind the current news flows.

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.

No, TERRA/Luna is not kickstarting a new Bitcoin Standard.

The news I read today:

Terra Community Divided on Do Kwon’s ‘Authoritarian’ Hard Fork Proposal

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.



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.

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

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.

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

[1714907355]

1714907355

[BITCOIN4X]

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

Yes, I am not buying at $0.01 because I am only taking advantage of a small opportunity to make a profit at the current price. Obviously I had nothing to lose and could probably forget about it if it ended up turning to useless. LOL

I will not imagine anything about Luna and UST, it is believed that it will fail in the end and of course I will forget my current investment easily. I'd still be benefited if I sold it now, but I want to enjoy the drama.  

[FanEagle]

I do believe that when things are this volatile, there is a case to be made about how you could find it profitable. I mean it is not impossible, but it is not easy neither. You would have to be on the right side of the volatility at each time and would need to make a profit like that.

I believe that the best thing you could do right now would be staying away from it. Could you get in when its low, and be very quick and get out as soon as it has a little bump? Sure you could do that, but it would be quite difficult to handle, hence why I prefer why I should not be involved. Only the real veterans who have amazing talent should consider this.

[_act_]

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

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.

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

Bitcoin is decentralized, unlike altcoins that all of them are centralized. I am late to know much about cryptocurrencies but from what I read in the past, ethereum blockchain which is now ethereum classic forked into ethereum classic and ethereum. The story is very different. The centralized authorities that wanted theDAO resulted to the fork but propaganda of calling the real ethereum the ethereum classic while what should be called like ethereum cash (if compared to bitcoin and bitcoin cash) is called ethereum. I may not be right but I am wondering how ethereum now is the fork of ethereum classic which is very confusing in naming.

About Terra luna and UST, what I do not like about the project is their algorithmic stable coin, several algorithmic stable coins had failed in the past, they want to fork it to USTC or something, this is what I am most afraid of about Terra project.

About the fork, I do not see anything bad in what they are doing, but I get what you are saying, that the project is centralized and the fault can be somewhere from their team. I can say this has happened and what people need to for the coins to get back to normal price which may depend on the fork.

In this fork, I think the old chain will be left behind and abandoned, new chain will be moved to. Luna is no more trading on any exchange and the fork could be worth moving to while the old is abandoned.

Mistakes has been done, but if they use this approach to make some people that have lost a lot because of luna and UST volatile to regain part of their money if lunc and USTC price increase, I think it is a good idea to amend the rubbish caued by Terraform Labs.

[Lucius]

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.

The whole thing seemed suspicious from the start, and Kwon is, according to some, a character with a very suspicious past when it comes to cryptocurrencies. He allegedly worked on some projects that suffered a similar fate, but that was just the basis for him to train for something much bigger.

I was especially surprised by the video in which he says that he enjoys watching companies fail, so I hope that now he enjoys the fact that his company is failing as well. Regardless of his education and the fact that he worked for Apple and Microsoft, I wouldn't entrust him with even $10 considering how arrogant and hypocritical he is.

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.

[fillippone]

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.

Yet, I think the echoes of this catastrophe will resonate for a long time.

Firstly, there will be a series of a tentative restarts of the chain. I doubt any of those will be effective, but I guess we will have to read other rounds of stupid ideas in the future (renaming chain and burning tokens? really?)
Secondly, I am not done with the idea of "external scalability solutions". Once an "external" peg has proven a failure, next time might be worth trying an "internal peg". Taro, pegging tokens to on-chain bitcoins, has all the possibility to be an effective way of doing so. But this is pseudo-science for the moment.
Third, I think regulators, scared by the mediatic impact of this story, will take this as an excuse for an even more intrusive look into "crypto operations", whatever this might mean. The result is that scammers will evolve into something more sophisticated, and true entrepreneurs, those who want to do sensible business, will face some improved costs.

[stompix]

And so Do Kwon Con joins the ranks of other financial geniuses like Maduro and Mugabe, he tried to back his useless coin with a hard currency and failed catastrophically, now what was the next obvious plan?
Sovereign bolívar! or Terra 2.0!

And who, who could have predicted that this will happen with the new coin? Just who?



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 !

I was checking the ranks of shitcoins and I saw that on rank 11 we have something called Wrapped Bitcoin, so another thing backed by Bitcoins that is supposed to be pegged by real coins?  At first glance it does seem like something far more stable than terra, not something that people would want to use in their daily lives but looking at the title, isn't this token actually far closer to the so-called bitcoin standard approach than terra has ever been?

It might be the wrong approach but it seems normal to me to consider that 1 coin backed by 10 satoshis is worth 10 satoshis rather than thinking 1 coin is worth 10$ because it is backed by 10$ worth of satoshis.

[fillippone]

Nic Carter, together with others, has published a very interesting “post mortem” analysis of the Terra Debacle.



They start with an analysis of various peg experiments in the fiat economy, such the one that miserably failed in 2015 by the SNB, which tried to peg the EURCHF to 1.2

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.

Interestingly,  on the conclusion of the essay they try to find a future for this kind of instruments, and guess what? The future is in the Bitcoin Protocol, rather than some weird algorithm. The peg of real bitcoins secured by the bitcoin network, and assets being created, negotiated and redeemed using the bitcoin protocol: it’s not easy, but TARO is here to help.

[BITCOIN4X]

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. Obviously this is the game now and people should stay away from long term investments. 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.

[stompix]

So from the story of Do Kwon and Luna we can go to the story of Icarus and the Sun. 

South Korean Court Issues Arrest Warrant for Terra Co-Founder Do Kwon

This was one hell of a wild trade, from a guy who played with billions to a total collapse to being a fugitive at the moment, (I read a line he is in Singapore and hasn't been to SK since the collapse) and having all his team members under surveillance and no border crossing list.

But despite all this, like a slap on the face to any rational man, the garbage called Terra 2.0 is still (in theory) worth $502,918,235 and has a 1.5 billion trade volume. Why just why?

[fillippone]

Why just why?

It's full of shitcoins out there, all of them irremediably broken, proven scams of founders and early adopters. Why LUNA should be different? As long as any shitcoins is priced >0 I don't expect anything sensible coming out of that space.

[Wakate]

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 !

The team behind it had made a lots of mistakes which could have been prevented if they had listened to advise from other investors and holders. They thought things would go easier if they relaunch another Terra Luna which many investors never supported at the earlier stage of the consensus. I don't think any wise and experienced investors would ever believe in the project have a great potential.

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

Yea, gambling is all about risk and luck 😂
Sometimes taking risk could help to earn a big fortune but the reverse can be very disappointing which is why we should always take risks that will not take our live if we eventually miss luck or end up losing.
We need to be strong all day even in our deep weakness.

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

It always involves risk management dude! Sometimes it looks easy for those that have large capital which there least 1% capital can be a lots of money to those of us that have smaller funds. You know all fingers are never equal.

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.

Take a look at this pic


Everything  in life is opportunity and timing. When others are complaining about how bad something is, some persons that see opportunity in such a thing will be taking advantage in making thousands of dollars while others are lamenting at the wrong timing. Even at this time that the crypto market is down, some investors are complaining of their loses while the wise ones are taking advantage in buying and accumulating some holdings.
Everything in life has both advantages and disadvantages for those you can see through.