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TerraUSD crash led to vanished savings, shattered dreams

wsj.com

11–20 of 366 posts

Re: TerraUSD crash led to vanished savings, shattered dreams

#11
post #5

> TerraUSD was touted as a blue-chip cryptocurrency. Let me stop you right there. Terra was a barely 2 year old shitcoin. I don't think you know what "blue-chip" means.

Who are you talking to? WSJ is correct: it was touted as blue-chip. It was not.

I guess I'm talking to whoever was doing the touting. Not that it matters now.

Re: TerraUSD crash led to vanished savings, shattered dreams

#12
post #7

Oh, no. They had feeder funds. Stablegain [1] was feeding money into them: You can now earn up to 15% APY interest on your cash with Stablegains. This is 30x higher than in your traditional bank. You can deposit and withdraw using your preferred methods (ACH, wire transfer, USDC) with the help of our partner Circle. There are no long-term lock-up periods. Earn passive income every day We take care of all technical as…

The biggest scam Stablegains pulled was to advertise taking USDC (most trusted stablecoin, backed by real, audited reserves), as to imply they were providing USDC lending yield, when in reality they converted your money to UST funny money.

Re: TerraUSD crash led to vanished savings, shattered dreams

#13
post #5

> TerraUSD was touted as a blue-chip cryptocurrency. Let me stop you right there. Terra was a barely 2 year old shitcoin. I don't think you know what "blue-chip" means.

Who are you talking to? WSJ is correct: it was touted as blue-chip. It was not.

This is correct. I had friends in Anchor who had believed in the underlying asset, Terra Luna+UST. Sad day.

Re: TerraUSD crash led to vanished savings, shattered dreams

#14
post #10
post #2

And an avalanche of "I told you so". Don't forget that part.

People are so smug when they say “I told you so.” It really bothers me. On every negative story about crypto, so many people comment “hur dur financial regulation dur”. But that’s so easy to say after the fact. If these people really could foresee these events happening, then they could have made a lot of money by taking short positions. That would be a lot more impressive to me than taking cheap opportunities to fee…

"Markets can stay irrational longer than you can stay solvent" - Keynes. Why does only taking short position qualify one to speak on this issue. You could be right but get wiped out in the short term when the mania drives these shitcoins to 10-20 times their fair value.

Re: TerraUSD crash led to vanished savings, shattered dreams

#15
post #10
post #2

And an avalanche of "I told you so". Don't forget that part.

People are so smug when they say “I told you so.” It really bothers me. On every negative story about crypto, so many people comment “hur dur financial regulation dur”. But that’s so easy to say after the fact. If these people really could foresee these events happening, then they could have made a lot of money by taking short positions. That would be a lot more impressive to me than taking cheap opportunities to fee…

Short positions:

* Have unlimited downside

* Are more difficult to get your hands on

It's not really reasonable to expect everyone bearish on crypto to also take uncapped risks.

Re: TerraUSD crash led to vanished savings, shattered dreams

#16
post #10
post #2

And an avalanche of "I told you so". Don't forget that part.

People are so smug when they say “I told you so.” It really bothers me. On every negative story about crypto, so many people comment “hur dur financial regulation dur”. But that’s so easy to say after the fact. If these people really could foresee these events happening, then they could have made a lot of money by taking short positions. That would be a lot more impressive to me than taking cheap opportunities to fee…

There are ~18000 cryptos, and out of all those, maybe two worth owning. Do I need to go open short positions on 17998 assets before I can tell people "don't buy shitcoins"?

Re: TerraUSD crash led to vanished savings, shattered dreams

#17
post #10

Earlier quoted context omitted.

People are so smug when they say “I told you so.” It really bothers me. On every negative story about crypto, so many people comment “hur dur financial regulation dur”. But that’s so easy to say after the fact. If these people really could foresee these events happening, then they could have made a lot of money by taking short positions. That would be a lot more impressive to me than taking cheap opportunities to fee…

Short positions: * Have unlimited downside * Are more difficult to get your hands on It's not really reasonable to expect everyone bearish on crypto to also take uncapped risks.

You can buy short options that have capped downside.

Re: TerraUSD crash led to vanished savings, shattered dreams

#18
post #10
post #2

And an avalanche of "I told you so". Don't forget that part.

People are so smug when they say “I told you so.” It really bothers me. On every negative story about crypto, so many people comment “hur dur financial regulation dur”. But that’s so easy to say after the fact. If these people really could foresee these events happening, then they could have made a lot of money by taking short positions. That would be a lot more impressive to me than taking cheap opportunities to fee…

I put my money where my mouth is by not investing in crypto???

Re: TerraUSD crash led to vanished savings, shattered dreams

#19
post #10
post #2

And an avalanche of "I told you so". Don't forget that part.

People are so smug when they say “I told you so.” It really bothers me. On every negative story about crypto, so many people comment “hur dur financial regulation dur”. But that’s so easy to say after the fact. If these people really could foresee these events happening, then they could have made a lot of money by taking short positions. That would be a lot more impressive to me than taking cheap opportunities to fee…

That assumes you are able to hold a short position for the indefinitely long irrational period in which the bubble can grow unpredictably large and your gains increasingly negative. It’s therefore also irrational to take a short position.

The sensible thing to do was to stay away - and I think it’s perfectly fine for people who did so to smugly say ‘I told you so,’ presuming they did indeed do that.

Re: TerraUSD crash led to vanished savings, shattered dreams

#20
post #10
post #2

And an avalanche of "I told you so". Don't forget that part.

People are so smug when they say “I told you so.” It really bothers me. On every negative story about crypto, so many people comment “hur dur financial regulation dur”. But that’s so easy to say after the fact. If these people really could foresee these events happening, then they could have made a lot of money by taking short positions. That would be a lot more impressive to me than taking cheap opportunities to fee…

Alternatively, refer to comment archives, or historical records of your choice.

Some, many here, have consciously objected to speculating on crypto valuation.

>unless you put your money where your mouth is

What about your pocket? That’s not an acceptable alternative?

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