Topic: Terra USD, proved its not a stablecoin - page 4. (Read 787 times)

Jerry, I think exactly like you, it's both idiotic fear and exaggeration.

If you don't have to use it at that moment, why cry so much?
assuming it returns to 1.
And I repeat those who bought at 0.7 and went to 0.9 is a lot of profit, how many BTC did Luna sell to be able to bank the price?

The price is slowly stabilizing itself, however such a variation in the price is something we could expect of any coin except stable coins, if the stable coin is also going to experiment huge drops in its price while providing none of the benefits like going up in value then there is no reason to keep holding that stable coin at all as it is not fulfilling its purpose.

I wonder how is buying TerraUSD at the moment? After all if I saw such crash I will keep away from such a stable coin as I would immediately think that there was some fundamental reason for its price to go so low.

thats was strange situation, but I understand from this situation, that everything could be in cryptocurrency, also I dont sure about teather  for now

I don't see any significant fall in the past 24 hours regarding USDT. Are you sure about that? Because it doesn't sound like a legitimate source. Anyway, back to UST, Do Kwon tweeted that he should be making an announcement on how to recover UST back to its $1 peg. While it has gone pretty close to that (higher was 0.95 if I'm not mistaken), it still struggles to go beyond that. I believe that action will be taken in order to save it.

Confused about this whole situation here.  Haven't many stablecoins dropped below their peg?  What was the big thing about TERRA USD?  Was it because it dropped so much?  The same thing happened with waves and USDN and it dropped similar to TERRA USD and then went back up to 90% + etc.  How come there wasn't that much talk about USDN compared to TERRA USD?



Also, wasn't it pretty obvious that TERRA USD was eventually going to go back to its peg of a dollar?  When i saw it went to 0.70, i thought... isn't it a no brainer to buy TERRA USD because it eventually will get back to at least 0.95 or so?  Someone did mention the upside was you make max 30 percent but you could lose the whole amount.  But isn't this little risk?



Also i read tons of people on twitter talking about this such as they lost 30% of their life savings and many were immediately selling their TERRA USD correct so they wouldn't lose more?  What i don't understand here is... why are these people so freaked out?  Did they literally had all their live savings in TERRA USD the stablecoin?  But what about Terra coin?  isn't it obvious TERRA USD stablecoin was going to go back to its peg or close to it later on? 



it was mentioned they sold a ton of btc in order to try to get TERRA USD back to its peg.  So if they did that, isn't it obvious worrying about TERRA USD Peg isn't that big of a concern?  Still confused why so many people were freaking out over this.  So why do many people have so much in TERRA USD then?  Heard about anchor staking and they give like 19.5% but is that owning TERRA USD the stablecoin... and earning that amount of interest similar to like how people own GUSD and earn GUSD on gemini?  if that is the case, then i would understand why so many people would own a stablecoin like TERRA USD.  Or is that anchor interest just having TERRA coin and not stable coin?



Even saw on the terra reddit, there was a suicide hotline link shown.  i am still confused why so many people were freaking out?  Again i don't know much about crypto terms such as these sites liquidating shares and things like that but when it was mentioned they were going to sell billion dollars worth of btc to get ust back to its peg, why are people then concerned?  its not like hey ust is keep going down and the company is doing nothing at all to fix the issue?



So let say TERRA USD went to 0.  What would have happened?  All the cryptos would have dropped even more correct?  But are there people that put a ton of their savings in UST or Luna?  The way you see people responses on twitter on this, you feel as if all their savings was on it.  Now would this situation been the same or worst if say this happened to GUSD or USDT or USDC?  im aware UST is a top ten crypto but i couldn't believe why there was so much talk about this.  Were people that owned LUNA much more concerned than those that owned UST?  Assuming one person owned USD while another owned UST.  if you owned UST... the stablecoin should eventually get back to its peg.  LUNA... after a while should go back to its normal prices when bull market right?  So why so much talk about this?

Look at how garbage this stable token is and as i said that to my friends if UST will fail. This is strong proof if terra luna is not having a proper product for the stable token. They need to sell their bitcoin and i suggest all and covert it into the stable token to make it stable. Terra luna need to do something to save its company from the dump. Just wanna try to watch the new story about stable token.

Of course, it going to fall. I've nothing against LUNA, heck I even make some good profit from its system. But the UST peg after LUNA was bound to fall just like this. So much for the decentralization when only stable coins like USDT fare better even if some doubt its ability to back 1:1 with USD. Hope a lot of you learn a lesson about what kind of stable coins WORK when the market is in panic mode.

               Although I won't go so far as to say it is a big ponzi scheme since terra is actually trying to do something to fix this plus the fact that btc dropped like hell making luna and ust follow, I cannot assure otherwise as well. Because even with the fact that I am a huge fan of luna(but did not have ust, lol), I definitely cannot trust their ust anymore stabke coins should be somewhat immune to btc crashes but ust dropped like hell along with btc. I might buy a bit though just for speculative profit potential but nothing more than 2% of my capital.

The main thing here its to know how many money Terra as a company lost in this "run" or maybe win.

How many BTC they have to sold to keep the price 1:1.

They re-buy ton of his token a cheap price?. I dont know how to know that but if it was a balance can be done.

USDT also fell because of the FUD news factor due to spam chain messages sent via email, I don't associate with UST even though both coins are stable but both are stable experiencing the same thing falling from the price of $1.

I offer you a very simple explanation of the reasons for the UST dump: https://www.benzinga.com/markets/cryptocurrency/22/05/27098231/terra-luna-crashes-45-as-ust-stablecoin-loses-peg-again - "UST’s token mechanics are set up so that traders can redeem $1 of LUNA for $1 of UST, ensuring that the stablecoin is constantly pegged to the dollar at all times. LUNA’s sharp decline has caused its market cap to fall under that of UST, with traders unable to redeem UST for LUNA in its previous 1:1 parity".

I see some posts created by do kwon and im sure that terra luna must have changed its mechanism to use bitcoin into the fiat money. This proves that terra has no power to face the bearish trend when bitcoin must be dumped a lot. terra didn't aware if this foundation is not the only party who has been holding bitcoin. So, anytime bitcoin can be dumped to the bottom and this will be making people feel panic. Look at how so many people blame this company for this

You are talking a lot of people losing money but........ How about the people who buy UST in 0.68 and we all know if its a stable coin have to comeback to 1 so in a few hours they can make a 32% in USD.

Take an eye on that because i know people who made this movement. Obviusly it was risky because this can fall more and GG.

Not as stable coin with UST after dropping as lower price until 0.6$ although right now have reach up above $0.91 but still different with other stable coin like USDT and BUSD. I think unbelievable with UST Luna network because drop as stable coin, bigger change drop today with UST and right now still have the same price with USDT. Will have chance back drop again with UST or back the same values with USDT as stable coin. I think when UST drop until 0.6$ can't called again with stable coin because not have meaning and function as stable coin for UST with Luna network.

They weren't trading, people took a loan in Anchor protocol used terra usd as a collateral, unfortunately for them they didnt think that it would lose its 35% value.

This just shows algorithmic stable coins is still an experiment for the founders. It's just unfortunate that this supposedly stable coin caused some panic among investors and it's safe to say they lost money too.

Those three are backed by fiat and other assets unlike UST which relies on algorithmic relationship with LUNA.

I am not invested into Terra myself but i still remember that few weeks ago Terra was pumping pretty hard and overall the performance of this coin was very impressive as it went from below 1 USD to over 100 USD in a hear and a half. I also don't really know how the mechanics behind UST are working but i would guess that if the sell pressure is just to much at a given time the price will drop and of course once it starts dropping people will become nervous and also begin to sell which makes it even worse of course. There was a similar issue with USDN (USD Neutrino from the waves platform) a few weeks ago but now it has stabilized again and i think it will be the same for UST.

Lately a lot of the community that talks about UST is a bit strange, they can drop below $1, and in my opinion it really deserves to be called not a stable coin. But we also don't know what the exact cause is, even when a bear market where everyone should be buying coins is stable, why their coins are down. But I think it has something to do with the airdrop they tweeted recently, because it dropped right then and there. maybe they are not as stable as other coins in balancing supply and demand.

It's going back again to the 30 and i do believe the price will not change a lot even when the market will be bounce caused by what already said by the company if their stable token fully decentralized was a big lie. Terra luna can't even sustain from the dump. Their stable token was the worst one in the crypto history and i think that people will always call this as the worst history for the stable token in the market.
The stable token issue on terra has been triggering so many problem on it. So many FUD was also coming lol

Yes, this is indeed a temporary price reduction, but it shows the vulnerability of such stablecoins and the insecurity of investors who have decided to keep their money in UST. But it should be assumed that when the value of UST is fully restored, the holders of this stablecoin will decide to replace it with a more stable stablecoin, such as BUSD, which has not yet seen such drawdowns in price.