Printing currency into oblivion like LUNA is the opposite of what crypto is intended to be!
Millions by the minute
TERRA (LUNA) is being printed into oblivion right now, millions by the minute, in a desperate attempt to try to get UST back at the 1 $ peg. In a matter of 45 minutes 4 billion extra LUNA was created. That’s like the Federal Reserve on steroids. Of course this is having a devestating effect on LUNA price. Right now it is below 1 dollar cent, and this will not get better in the next few hours as long as this printing frenzy keeps going.
And the purpose of getting UST at 1 USD is not being reached either. Right now at 46 cents. And probably it will dive again later. This is the smart contract that is built into this algorithm at work. But it is obvious that the trust in the project has completely evaporated. So, in my opinion it is better to pull the plug, and file bankruptcy, instead of keeping this printing machine at work, and trying to lure in buyers of a coin that is already dead, but not yet buried.
That’s just evil. Anyone buying LUNA now, will lose his money eventually…
This kind of thing is the exact reason why Bitcoin and crypto was created. To create a currency that is decentralised AND deflationary in the long run. With a maximum cap of coins possible on the market. And then such things happen exactly in the crypto scene… Quite schizophrenic if you ask me, and it shows us, we should stick to the ideology of why crypto was created if we want it to succeed. Printing into oblivion is surely not part of that!
Be very careful where you invest your money in, choose the projects with a purpose and with a good plan when it comes to inflation/deflation!