The market had crashed 🔥 midnight yesterday due to Luna's fever 🤕.
Stablecoin UST was supposed to peg at $1, but it was $0.22. It meant you would spend $1 to buy $0.22 of the token. You immediately lost 78% of your profits.
Then the founder used Bitcoin to back his stablecoin, which made it worse.
And that is not sopping the nightmare of Terra that they would face 🕳️.
To save UST, Terra issued a supply of tokens to support the losing value of UST and tanked the price of Luna from $80 to less than $1. So which is a stablecoin, then 😒?
Also, the Treasury jumped out and said I told you so ☹️. And the Fed repeated that I told you so ☹️.
The end of the stablecoin 😒? Not quite yet 😂.
I know the situation can be 💩💩💩 but there is a catch.
Our global economy is also 💩💩💩.
Inflation stays for a long time that is out of the Fed expectation 😧.
So the Treasury did not diminish the significance of stablecoin and claimed that both CBDC and stablecoin could co-exist. And they claimed the de-pegging is not a real threat to financial stability.
And very interesting that China 🇨🇳 just changed its mind about supporting Bitcoin and its legitimacy.
Also, the British 🇬🇧 suddenly invested money in crypto technology and tried to become a crypto hub in Europe.
While "Crypto Bros" lost $20B just within a week 💸.
What just happened here 😮?
1️⃣ Crypto is the future 🔮
Crypto is the future, and even people hate them. Nevertheless, it has become an alternative payment system for many governments to adopt.
2️⃣ Crypto cycle is shorter 🚴
The boom and bust of the crypto cycle tend to be shorter since there are many projects, and only a few are sustained during the market downturn.
3️⃣ Crypto innovation is faster 💡
Since there a less regulated industry, the innovation has been faster and more easily be adopted.
But, crypto has been slowly integrated into our economy, and we continue helping the space to improve and become more inclusive.
At the end of the day, WAGMI 🥳🥳🥳!
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