Topic: new opening of Bitcoin monetary era (Read 178 times)
good any way but what direct impact will this bring to the overall Bitcoin ecosystem will it free things up and bring more congestion, that will further add to the slow network in Bitcoin blockchain.
For example have they provided any proof of this claim? Like a signed message from address(es) containing $10 billion worth of bitcoin? I couldn't find any proof after looking a little.
I would go farther.
As the quest for Bitcoin mainstream and scalability get to the advance stage a lot of stable coins are now diving in into the Bitcoin bullish market and backing their stable coin reserve with bitcoin and huge buying of Bitcoin for reserve.
Has the OP backed up his claim or was he simply carried away by the excitement of the news? It seems to me that it is the latter. OP, if there are a lot of stable coins doing that, it wouldn't hurt if you put up proof of it.
Indeed I got carried away by the news but I will update the thread with relevant information as I find them.
I have been searching for this news on the official Twitter account of the Terra project, but there isn't anything about it. The link to the tweet OP posted is from 14 March and I went back as far as 13 March and nothing. There is nothing about it on their Medium account either. You would think that if something like that was official, they would advertise it all over the place. It's just speculation at this stage or an attempt to get some hype started.
Do Kwon's Twitter is the source of a lot of things like stompix said, and they've created a separate Twitter account for this sort of "foundation". They call it "Luna Foundation Guard".
https://twitter.com/LFG_org
As for the other responses: I totally get the skepticism, but this project is backed by highly respected VCs so the chances of this being sort of "fake" is kinda unlikely(though not impossible).
And just to make myself clear: I don't own and never held any $LUNA. Lots of very bad projects(and this may be one of them depending on a person's opinions about algorithmic stablecoins) in the cryptocurrency space but not every single one is a scam.
I have been searching for this news on the official Twitter account of the Terra project, but there isn't anything about it. The link to the tweet OP posted is from 14 March and I went back as far as 13 March and nothing. There is nothing about it on their Medium account either.
It still comes from the co-founder of terra:
https://twitter.com/stablekwon/status/1503296630396645376
so from their team perspective, it is almost official, and it has far less to do with terra, they are just trying to copy tether, but with so many so-called "stable" coins, one can't help wondering how profitable is this digital money printer and what percentage of it is really backed.
I wonder how will the Terra developers get a 10 billion dollar funding
You get 100 million, you make the mistake of typing another 00 but without the . and you announce you have the funds. The sheep will trust you as the value of their shitcoins will depend on this project and by the time the mistake is revealed everyone will be that heavenly invested in it you will see a wall of denial tall as the sky. Even right now poeple still think tether is 100% backed by something.
We know that the most popular stablecoins are backed by fiat money like the USA Dollar and we know that fiat can be inflationary so why not instead use Bitcoin as the value backing it all up?
Why would you use a coin that is backed by 100 satoshis and not 100 satoshis?
Cash was backed by gold because it was hard to deal with gold, a bitcoin-backed coin has no reason to exist.
This topic belongs to the Altcoin discussion forum,despite the fact,that Bitcoin is being mentioned.
The idea of creating an stablecoin,which going to be backed by a mixture of USD and BTC(and maybe other fiat currencies,cryptocurrencies and assets) seems interesting.
I wonder how will the Terra developers get a 10 billion dollar funding.They will have to promise a ROI to the potential investors.How can a stablecoin become profitable and make money?
The whole purpose of a stablecoin is to have a stable price and little to none price volatility.
I guess that the Terra reserve,which will be used to backup the stablecoin,would most likely be the only source for redistribution of dividends to the investors.
The idea of creating an stablecoin,which going to be backed by a mixture of USD and BTC(and maybe other fiat currencies,cryptocurrencies and assets) seems interesting.
I wonder how will the Terra developers get a 10 billion dollar funding.They will have to promise a ROI to the potential investors.How can a stablecoin become profitable and make money?
The whole purpose of a stablecoin is to have a stable price and little to none price volatility.
I guess that the Terra reserve,which will be used to backup the stablecoin,would most likely be the only source for redistribution of dividends to the investors.
I have been searching for this news on the official Twitter account of the Terra project, but there isn't anything about it. The link to the tweet OP posted is from 14 March and I went back as far as 13 March and nothing. There is nothing about it on their Medium account either. You would think that if something like that was official, they would advertise it all over the place. It's just speculation at this stage or an attempt to get some hype started.
What is the difference between them and central banks? Central banks print more money than they have in reserve and so do stablecoins.
The problem is when the bitcoin price starts a real correction down with more than 60% then the calculations and if these stablecoins fails to maintain the peg (1 stablecoin = 1 USD) the selling pressure will make those currencies unstable.
Any panic can happen and with our prior knowledge that most of these currencies do not own less than 10% of the currencies that they print, then we can say that these currencies are unstable and what makes them stable is the promises of obtaining a stable value, as soon as these promises are questioned, their value will collapse.
The problem is when the bitcoin price starts a real correction down with more than 60% then the calculations and if these stablecoins fails to maintain the peg (1 stablecoin = 1 USD) the selling pressure will make those currencies unstable.
Any panic can happen and with our prior knowledge that most of these currencies do not own less than 10% of the currencies that they print, then we can say that these currencies are unstable and what makes them stable is the promises of obtaining a stable value, as soon as these promises are questioned, their value will collapse.
- Buying $10 million is nothing but trying to gain trust in these promises.
- Stay away from all stablecoins and if you are forced, buy only DAI, USDC, AND USDT.
For example have they provided any proof of this claim? Like a signed message from address(es) containing $10 billion worth of bitcoin? I couldn't find any proof after looking a little.
I would go farther.
As the quest for Bitcoin mainstream and scalability get to the advance stage a lot of stable coins are now diving in into Bitcoin bullish market and backing their stable coin reserve with bitcoin and huge buying of Bitcoin for reserve.
Has the OP backed up his claim or was he simply carried away by the excitement of the news? It seems to me that it is the latter. OP, if there are a lot of stable coins doing that, it wouldn't hurt if you put up proof of it.
To me this sounds more like a centralized shitcoin is advertising itself by using the word "BTC" so that they can gain some popularity in this market. This certainly is not the first time.
For example, have they provided any proof of this claim? Like a signed message from address(es) containing $10 billion worth of bitcoin? I couldn't find any proof after looking a little.
For example, have they provided any proof of this claim? Like a signed message from address(es) containing $10 billion worth of bitcoin? I couldn't find any proof after looking a little.
The Terra project has been pretty popular for a while now even before this BTC purchasing thingy was announced. But yea, as far as I know, the bitcoin wallet address hasn't been publicized just yet.
But the recent 10 billion dollars Bitcoin reserve purchase has not been made public with proof but I will be on the lookout to see if they eventually make the wallet public with a sign massage.
To me this sounds more like a centralized shitcoin is advertising itself by using the word "BTC" so that they can gain some popularity in this market. This certainly is not the first time.
For example have they provided any proof of this claim? Like a signed message from address(es) containing $10 billion worth of bitcoin? I couldn't find any proof after looking a little.
For example have they provided any proof of this claim? Like a signed message from address(es) containing $10 billion worth of bitcoin? I couldn't find any proof after looking a little.
The Terra project has been pretty popular for a while now even before this BTC purchasing thingy was announced. But yea, as far as I know the bitcoin wallet address hasn't been publicized just yet.
backing their stable coin reserve with bitcoin and huge buying of Bitcoin for reserve. E.g TerraUSD to be backed with a 10 billion dollars in Bitcoin this purchase will be added to the project stable reserved
To me this sounds more like a centralized shitcoin is advertising itself by using the word "BTC" so that they can gain some popularity in this market. This certainly is not the first time.For example have they provided any proof of this claim? Like a signed message from address(es) containing $10 billion worth of bitcoin? I couldn't find any proof after looking a little.
Frankly speaking I'm not sure if backing a stablecoin with BTC is a good idea. Everything seems good if BTC is at high or at least stable rates. But once the trend changes then reserves may easily fall under coin supply value.
However, the good thing is this is a big amount of BTC that would be frozen. Therefore, we get less BTC on the market and higher BTC price. Hopefully, these reserves would remain untouched (otherwise, it may dump the price even lower).
However, the good thing is this is a big amount of BTC that would be frozen. Therefore, we get less BTC on the market and higher BTC price. Hopefully, these reserves would remain untouched (otherwise, it may dump the price even lower).
This new development of a stablecoin backed by Bitcoin is something of a good news and one that can indeed open a new monetary era. Now, in the past, fiat money got backed by the real/physical gold and since we consider BTC to be a digital version of gold then certainly it can be used to be backing another asset at hand and that is stablecoin. We know that the most popular stablecoins are backed by fiat money like the USA Dollar and we know that fiat can be inflationary so why not instead use Bitcoin as the value backing it all up? I am finding this a very interesting development and really worth watching further.
If UST becomes backed by a good amount of BTC percentage wise, then it will definitely make things more interesting; making BTC as a reserve asset a reality. Afaik as for now it's still majority backed by $LUNA.
I really wouldn't call this 'decentralized' though; they're pretty much custody-ing BTC. But at the very least it's non-custodial, so it has it's own advantages(and disadvantages) vs USDT and USDC.
I really wouldn't call this 'decentralized' though; they're pretty much custody-ing BTC. But at the very least it's non-custodial, so it has it's own advantages(and disadvantages) vs USDT and USDC.
As the quest for Bitcoin mainstream and scalability get to the advance stage a lot of stable coins are now diving in into Bitcoin bullish market and backing their stable coin reserve with bitcoin and huge buying of Bitcoin for reserve. E.g TerraUSD to be backed with a 10 billion dollars in Bitcoin this purchase will be added to the project stable reserved
Terra a decentralized platform minting the terra USD/UST pegged with the dollar announce this purchase on the Twitter handle some days ago.
Source: Terra $10 billion bitcoin reserve
full news article
Terra a decentralized platform minting the terra USD/UST pegged with the dollar announce this purchase on the Twitter handle some days ago.
Source: Terra $10 billion bitcoin reserve
full news article
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