Watching in real time is harmful to health. And it's not clear where it will go. The current fluctuations are not like the previous ones, there is something interesting.
It broke the peg. The algorithm obviously failed. Loss of confidence equals no bueno. It may recover but...it's never going to have the same level of market cap again. Scary. That's supposed to be "safe" money.
Yeah. I think that if this thing recovers they are gonna need to revamp the algorithm to keep trust.
Of special interest should be setting automated parameters and amounts for using the backstop BTC. I am not sure how helpful using it in panic mode is helpful as it incites more fear. Better if it were programmatically deployed in an expected and verifiable fashion.
Me neither. I am already slightly skeptical of algorithmic stablecoins and UST seemed to fail the test. Of course we have know way to know if it really failed since they cut the test short randomly. They should put intervention into the algorithm and stick with that if they want to rescue.
As far as I can see, they are selling Bitcoin to save TerraUSD. I think this will cause bigger problems in the future. Terra's algorithm is worse than I expected.
I wonder if there is some foul play there. People who don't like terra may be helping push it down. Still the algorithm should be better than that on a coin worth billions.
We have to remember that LUNA itself is a victim, not the perpetrator. The problem was its associated stablecoin, TerraUSD (UST). Any cryptocurrency which has an associated stablecoin could suffer the same fate if protections and safeguards aren't included in their algorithms. We have more protections than most; our problem was just a lousy peg which seems to have been rectified.
Could what happened with LUNA/UST also happen with, oh, ETH/DAI or BNB/BUSD?
UST had instant conversions from UST into LUNA so the arbitrage bots kept pushing down LUNA until it broke the peg. I guess having LUNA fall in price so fast caused it's downfall.
Do Kwon can't pump in enough money to hold it up against sells
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This is truly a terrible situation. There was almost 35% slippage. I think it's trying to recover now.
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It's definitely a wild thing to see happen real time
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Of course.
I won't be surprised if we have people trying to stay away from stables like that.
HBD is still early but we can see how it's holding the $0.9 position unlike how it was in the past.
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Benefits of not having much HBD in circulation. fixed interest yield works pretty well.
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More reason to leave everything in savings.
It's now of essence during this crypto dip.
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Yea, HBD is looking great right now
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Yeah being paired with USDC is pretty awesome.
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Watching in real time is harmful to health. And it's not clear where it will go. The current fluctuations are not like the previous ones, there is something interesting.
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I just grab a beer and some popcorn.
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It's up to Wall Street Bets to do their thing and save LUNA.
It broke the peg. The algorithm obviously failed. Loss of confidence equals no bueno. It may recover but...it's never going to have the same level of market cap again. Scary. That's supposed to be "safe" money.
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It sure failed the trust test. And indeed such slippage in stablecoin is terrible.
It's hard to understand what's going on, we'll have to wait and see.
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Yeah. I think that if this thing recovers they are gonna need to revamp the algorithm to keep trust.
Of special interest should be setting automated parameters and amounts for using the backstop BTC. I am not sure how helpful using it in panic mode is helpful as it incites more fear. Better if it were programmatically deployed in an expected and verifiable fashion.
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Honestly, I would never trust again. Terra has failed and they are currently selling large amounts of BTC to fix the issues.
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Me neither. I am already slightly skeptical of algorithmic stablecoins and UST seemed to fail the test. Of course we have know way to know if it really failed since they cut the test short randomly. They should put intervention into the algorithm and stick with that if they want to rescue.
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As far as I can see, they are selling Bitcoin to save TerraUSD. I think this will cause bigger problems in the future. Terra's algorithm is worse than I expected.
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It is a shame. They just bought it :-0
Yes it is not good.
I wonder if there is some foul play there. People who don't like terra may be helping push it down. Still the algorithm should be better than that on a coin worth billions.
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In a few days everything will become clearer. And I wonder what's going on. I hope they have a good explanation.
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We have to remember that LUNA itself is a victim, not the perpetrator. The problem was its associated stablecoin, TerraUSD (UST). Any cryptocurrency which has an associated stablecoin could suffer the same fate if protections and safeguards aren't included in their algorithms. We have more protections than most; our problem was just a lousy peg which seems to have been rectified.
Could what happened with LUNA/UST also happen with, oh, ETH/DAI or BNB/BUSD?
I don't think it is that simple. Why did the Luna foundation choose to sell when the markets were crashing? Did they reveal the truth?
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Time to move your stake to HBD and be "safe" not just on papers. But in reality. 😂
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Yea, I grabbed some this morning and I plan to get some more in the next few days
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It debates all that is attached to being a stablecoin.
We'll expect nothing less when the market recovers.
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When it comes to Terra (LUNA), @melbourneswest is the one to find. Here's a post he published a couple of days ago:
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Oh, my chart is a little off, lol! It looks like it is trying to weather the storm.
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I hope it gets over this or bigger storms will come.
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Bigger storms aren't good. But we can't totally avoid such if it's their season.
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I have to stay calm and wait for the storm to pass. Then everything will look clearer.
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It's the best thing to do to avoid getting all worked up.
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UST had instant conversions from UST into LUNA so the arbitrage bots kept pushing down LUNA until it broke the peg. I guess having LUNA fall in price so fast caused it's downfall.
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The algorithm failed pretty bad they'll have to change it.
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