$3B in Bitcoin was sold in a last-ditch attempt to save UST from collapse

Post by zrail » Mon, May 16, 2022, 4:20 PM UTC

lvass wrote: post #42

vmception wrote: post #17

I mean that was the expected outcome and now people are like “proof of the expected outcome!?!” Following months of outcry about the unsustainable nature of Terra Luna, Do Kwon through his foundation tried to partially collateralize the stablecoin with bitcoin, with a goal of buying up to $10bn of bitcoin. He got $3-5bn (at the time, price changed a lot), and this prolonged the confidence system for one additional mo…

>So it doesnt matter whether we get records from exchanges It matters a lot. The rumor mill has it LFG directly rescued a few whales in the first sign of crisis. This is a very serious accusation I'd urge no one proclaim without definite proof. If they concentrated their usage of the reserves to keep the peg earlier, possibly anyone selling below $1 would take an immediate loss and no noticeable depeg would even happ…

Post by lvass » Mon, May 16, 2022, 4:25 PM UTC

zrail wrote: post #61

lvass wrote: post #42

Earlier quoted context omitted.

>So it doesnt matter whether we get records from exchanges It matters a lot. The rumor mill has it LFG directly rescued a few whales in the first sign of crisis. This is a very serious accusation I'd urge no one proclaim without definite proof. If they concentrated their usage of the reserves to keep the peg earlier, possibly anyone selling below $1 would take an immediate loss and no noticeable depeg would even happ…

> The rumor mill has it LFG directly rescued a few whales in the first sign of crisis. This is a very serious accusation I'd urge no one proclaim without definite proof. What would it change to have that information? Afaict none of this is regulated in any regard so if that happened, would there be any impact what so ever?

Post by calbruin » Mon, May 16, 2022, 4:28 PM UTC

helsinkiandrew wrote: post #35

georgeecollins wrote: post #8

This is a dry run of the Tether (USDT) collapse.

Tether is atleast supported with real world assets (USD/bonds etc). The amount and quality of the assets might be debatable but it can't go into a death spiral to zero like Luna and UST.

Post by [deleted] » Mon, May 16, 2022, 4:31 PM UTC

lvass wrote: post #42

vmception wrote: post #17

I mean that was the expected outcome and now people are like “proof of the expected outcome!?!” Following months of outcry about the unsustainable nature of Terra Luna, Do Kwon through his foundation tried to partially collateralize the stablecoin with bitcoin, with a goal of buying up to $10bn of bitcoin. He got $3-5bn (at the time, price changed a lot), and this prolonged the confidence system for one additional mo…

>So it doesnt matter whether we get records from exchanges It matters a lot. The rumor mill has it LFG directly rescued a few whales in the first sign of crisis. This is a very serious accusation I'd urge no one proclaim without definite proof. If they concentrated their usage of the reserves to keep the peg earlier, possibly anyone selling below $1 would take an immediate loss and no noticeable depeg would even happ…

Post by eric_cc » Mon, May 16, 2022, 4:33 PM UTC

joosters wrote: post #4

"Sold" It's hard to show that they really sold these coins. Certainly, the LFG transferred the coins to some different exchanges. But did they truly sell them? If I was running a dodgy ponzi scheme and saw it collapsing catastrophically, I don't think I'd be throwing good money after bad trying to futilely patch it up. Much better to stash the remaining assets away somewhere and personally cash out later on. Also, “I…