Luna to the Moon, then Moon to the Earth?luna fell from ~$100 usd and stablize around ~$0.0001, around 1/1,000,000th of the price. supply of token grew from ~1B -> ~10T. the inflation alone doesnt account for the drop. loss of trust in the community and diddy kong likely results in the delta. the token went even lower for a brief period before becoming quiescent.
dew pont has failed as a founder in many such cases, and this isnt his first rodeo. the ust derivative asset is backed by a principal asset guaranteed to shrink in market cap during a bear market, exactly when people want to move into stable coins. when the market cap of the derivative is higher than the principal that is similar to there being more usdt or usdc than us dollars in existence. this results in a positive feedback loop where a malicious actor can cause an imbalance extract the delicious equity from the principal asset through a reward mechanism or through shorting it.
the above is what dee dee was warned about on twittler, the soy social media application. he decide to ignore and mock the poster which probably seal his fate.
twitter.com
many peoples believe kong was in on this scam, but i dont think so. he is not smart enough to do this and his hubris would not allow him to do so. he even named his baby after this shitcoin.
twitter.com
--- current state of affairs ---
the block chang was stopped many times, now devs have patched it to remove the ability to mint and burn luna and ust
github.com
the future of luna rests in the hands of how the community handles recovery. there are 2 core choices.
1. the vitalik route: fork the blockchain and revert transactions, pathetically attempt to restore everyones money while double rewarding people who sold. unlike ethereum, lose the support of all holders and backers, including binance ceo. chain dies and project dies.
2. the buyback and burn route, explained bestest with this proposal: agora.terra.money
if you think they will do the first choice, you should sell, otherwise you should buy. buyback and burn means a potentially large return esp for dip buyers. however buyback and burn requires capital which nobody would want to loan to incompetent du known. circle and usdt want this algorithmic ponzi to fail more than anybody, and the chain itself is a tendermint clone with nothing innovative on it.
i think that du known will come to his senses and attempt the second option but nobody will give him money, and then he will try to fork and everything will die. but before that i think big pomp. but before that it might dip. i spread buys and sells across 0.005 and 0.0001, with some extra in case it really moon through a bailout (probably not). also dont expect exponential droppa because minting new luna has bean disabled by the coderinos
good luck frens
