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

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

#81

Post by jpmattia »

onlyrealcuzzo wrote: post #40
helsinkiandrew wrote: post #35

Earlier quoted context omitted.

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.

Only 3.87% of Tether was backed by dollars: https://siliconangle.com/2021/05/13/tether-releases-reserve-... So it could drop pretty far.

> Only 3.87% of Tether was backed by dollars

For comparison: Citibank had only 11.73% Tier 1 capital in their 2021 report: https://www.citigroup.com/citi/investor/quarterly/2021/ar20_... Couldn't find a breakout of their Tier 1, but it includes high-quality credit items as well, so actual dollars is well below 11.73%.

So in other words: SiliconAngle.com is writing clickbait and doesn't understand modern banking.

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

#82

Post by ChrisClark »

latchkey wrote: post #37
ChrisClark wrote: post #27

Earlier quoted context omitted.

I mean it's not going back up to $60k. The bubble is over, but it's only the start of a longer bear market, so yeah, it can go much lower.

Just to confirm, you don't feel it'll ever go to 60k?

Not at all what I said or think. I only mentioned this current bubble is over. I'm not talking about the next one.

It most likely won't hit $60k this year, but there is a new bubble like clockwork every 4 years. And like I said, another bubble could be kicked off earlier when the ethereum emission drops 90%. That could drag bitcoin up a bit and trigger an early start to the next bubble.

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

#83

Post by georgeecollins »

id wrote: post #38
NelsonMinar wrote: post #23

Earlier quoted context omitted.

Tether itself also had a dry run of the Tether collapse. It seems to mostly be holding steadyish in the past few days, but the dip down to $0.95 is a giant screaming alarm. It's still only at $0.9990; before the crisis last week it was pretty much always at $0.9998 or above.

Similar or worse drops happened in 2016, 2017, 2018, and 2020. In other words, business as usual for Tether.

Yes, and like $50b-$100b worth of trades each day are in USDT, with a market cap of $73b. That's according to coinbase, I can't verify it. When I look at people talking about trading crypto currency on reddit they just don't seem that sophisticated. I am not bashing on crypto, but this seems like a systemic risk people are oblivious to. It won't wipe everything out, but it can't be good for the price.

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

#84

Post by jallen_dot_dev »

djantje wrote: post #14

I don't understand, if $3B in bitcoin is sold to save UST we should also be able to see a equivalent of that $3B in Terra/Luna/UST buys? I don't understand crypto, and or how the Luna/UST works, but if you supported/buy something this should be visible, not only in vanished bitcoins, or am I mistaken?

Do we not? Volume of trades was in the billions during the collapse.

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

#85

Post by hitovst »

Sooner or later people are going to have to actually understand Bitcoin, and will then see that 99% of the rest of crypto are scams.

If you don't understand that freedom is the most relevant part of Bitcoin/crypto, you probably also don't understand that the few good things you take for granted if life are due to the remaining residue of freedom.. and why you didn't care when slavers eliminated it.

Figure it out soon, and save yourself things even more important than wealth.

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

#86

Post by ethanbond »

eric_cc wrote: post #75
shkkmo wrote: post #73

Earlier quoted context omitted.

> Too many people falsely equate "Bitcoin === Crypto".. or "a fan of bitcoin is a fan of all crypto". > So I'd bounce this back to you: How is Luna's Ponzi crash NOT good for bitcoin? Doesn't the first line answer the second?

> Doesn't the first line answer the second? To be clear, you're suggesting: "because people are uneducated about bitcoin and crypto, when one project fails they will incorrectly connect it to bitcoin. And that's bad for Bitcoin." These events are great opportunities to educate ignorant people. > 0 such ignorant people will learn more about bitcoin and why it's not like crypto like Luna. Greater education is extremely…

If these are good opportunities to bolster the credibility of BTC et al., the community must just do a very poor job of capitalizing on those opportunities. It is strictly a bad look to have headline after headline affiliating this entire economic sector with fraud, and frankly the shills’ reactions just make the headlines even more unflattering.

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

#87

Post by georgeecollins »

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.

That's another way of saying it is a more legitimate scam which is why it has lasted longer. You are correct.

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

#88

Post by Melting_Harps »

joecool1029 wrote: post #68
vmception wrote: post #26

Earlier quoted context omitted.

By 2032? We need new songs, “you just got Do Kwon’d” instead of “Mt Goxxed”

I remember getting Zhou Tong'd. I think that was the first song trend: Example: https://www.youtube.com/watch?v=NG1qooBzE2w

Wrong track, this is the one you're looking for:

https://www.youtube.com/watch?v=-z9Jwp2x86o

I saw them live, but was too lost in conversation during 95% of their performance, which is a shame because they went dark not longer after that. Still, ZT was a solid part of the history back then.

And for a more relevant track for the current sentiment:

https://www.youtube.com/watch?v=lEBP9dpVM70

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

#89

Post by dlubarov »

vkou wrote: post #62
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…

The guy was running a blatant Ponzi scheme (20% risk free yoy return for anyone investing in a 'stable' coin is a Ponzi), and it's the fourth time he's tried this (it's the first time it grew to multiple billions). He's not stupid, he's just a predator, and just like any other predator, belongs in prison.

The 20% interest was just a short-term user acquisition scheme, funded by some of the initial LUNA tokens. I don't think anyone claimed that it was sustainable.

A Ponzi would be if Anchor used users' deposits to pay out the 20% rewards, which isn't what happened here.

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

#90

Post by eric_cc »

snovv_crash wrote: post #76
eric_cc wrote: post #69

Earlier quoted context omitted.

> 'this is good for bitcoin' A total ponzi scam coin crashed. This IS good for Bitcoin. Bitcoin is not Luna nor is it one of the thousands of other garbage scam coins. The faster those coins are proven scams the better. Too many people falsely equate "Bitcoin === Crypto".. or "a fan of bitcoin is a fan of all crypto". So I'd bounce this back to you: How is Luna's Ponzi crash NOT good for bitcoin?

Tell me, what assets exactly are backing BTC which stop it from crashing just like Luna?

LUNA minted trillions of brand new tokens within the span of a day or so rendering the token worthless. This is due to the way LUNA was tied to the algorithmic stablecoin UST. It was a true ponzi.

BTC's max supply is capped and the release schedule of new coins is fixed and predictable. There is no possible way that trillions of new bitcoins could suddenly be created.

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