Printing currency into oblivion like LUNA is the opposite of what crypto is intended to be!

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(Edited)

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.

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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…

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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!

Sincerely,

Pele23



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10 comments
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I really wonder how many people lost their weatlh in this bloody days.

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At least it is a good case study of what NOT to do.

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Their market cap shrinked quickly. It's so hard to believe they are now smaller than HIVE. This chain has more utility value in my opinion than LUNA has so I think it's only fair.

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I think this has never happened in the crypto world, a currency with so much capitalization evaporate in this way, really create more tokens of moon what it is doing is that the price is falling more, a super devaluation of its value and of course the confidence of investors no longer exists.

This project for me is already liquidated, there is nothing that can save it and the best thing to do is to declare bankruptcy as you rightly say.

Bitcoin is the most solid thing there is in this crypto space and the true decentralization of the market.

Greetings my friend.

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It has been a crash that has taken everything ahead of us but as always we will bounce back. From this TERRA can get a series for Netflix because it is terrifying what happened.

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Well, especially if you hear who and what is behind it. It feels like a cold heart attack by the banking industry, and it probably is...

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:( too bad for luna.. they are victim to big greed/fear..

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Terra did a few things wrong and I don't really think it was that smart. At least paying out more in yield than you take in for loans doesn't sound like a great thing at all. It's dumping money to attract more users. Then they bought more volatile assets for the treasury and I don't see how that will work out.

Posted Using LeoFinance Beta

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