Let me share some of the information why there is risk with $UST.

Basically there is a few way to convert your $UST to $USDT for buying other cryptocurrency on the secondary market.
1/ When you hold $UST and want to exit to $USDC/ $USDT for redemption or trading, there's 2 ways.

1. You burn your $UST mint $LUNA. You take your $LUNA and send it to a CEX and exchange it to $USDT.

2. You send your $UST to CEX/DEX (kucoin/curve.fi)
You swap it to $USDT
2/ Using the first method, $LUNA would be sold in the open market, causing prices to drop.
3/ Using the second method, if there is a huge amount of $UST exiting the system, it will depeg off it's original value of $1 and go to a slight discount.
Arbers will buy the cheap $UST and do the 1st method. That's how the rebalancing works.
4/ The difference between Iron.finance and Terra is that there is actual usage/value in $ANC and in $MIR

But my POV changed recently due to the % returns for $MIR.

The R/R is no longer worth.
5/ When TVL was climbing crazily, the APR for mAssets was around 500%-600%

Right now, LPing for blue chip stocks are around 20+ % to around 30+%?

$MIR is basically a farm and dump coin.
6/ As you can see in all other blockchains, when APR drops, TVL in any protocol will slowly disappear in hopes of finding higher/safer yield.

In the case for $MIR, there's more than 50% of the TVL locked in $MIR.

What happens when a few whales choose to exit.
7/ There might be several reasons for their exit.

Equity market crash, incentive not worth LPing while taking the risk and many other reasons.
8/ But then again, I might just be larping so that whales exit and I can have higher yield.
I guess we'll never know.
9/ Good luck to all the haters. I've dumped on you at reasonably high returns and have no intention holding through the hell I expect to see.
10/ If you bought the ATH, use this.
11/ If you bought at under a dollar, repeat after me.

Unrealised profits are not profits.
Unrealised profits are not profits.
Unrealised profits are not profits.
12/ If you're going to believe a hypeman CEO that uses airdrop to push prices, awesome.

Short term bull, long term bearekt.

• • •

Missing some Tweet in this thread? You can try to force a refresh

Keep Current with Chariot Meriry $LUNA MOON

Chariot Meriry $LUNA MOON Profile picture

Stay in touch and get notified when new unrolls are available from this author!

Read all threads

This Thread may be Removed Anytime!


Twitter may remove this content at anytime! Save it as PDF for later use!

Try unrolling a thread yourself!

how to unroll video
  1. Follow @ThreadReaderApp to mention us!

  2. From a Twitter thread mention us with a keyword "unroll"
@threadreaderapp unroll

Practice here first or read more on our help page!

More from @BBhodler

19 Jul
Thoughts on market

1/ Currently equities are near ATH (just did a retracement)

$BTC is about 50% off ATH

#DeFi yields are drying up.
2/ From march 2020, we all learn that crypto markets are highly corelated with equity market when it is going through a correction/crash.

If equity market crashes, $BTC will crash again too.
Read 11 tweets
30 May
Some alpha leaks

1/ $BUNNY is backed by binance labs, IDEO CoLab & SparksLabs korea

It's basically a yield aggregator like the many others in the #BSC space such as $AUTO & $BIFI.

Yield aggregators always has a much higher odds of listing as it is much easier to get a high TVL.
2/ On 20th May, they got exploited and lost a total of $45 mil. But in actual fact, the damage is much worst.

Their market cap pre hack was around $75m but is around $10m as of writing.

TVL dropped around -90% compared to ATH when it was around $10b TVL
Read 15 tweets
4 May
There are many misconceptions on @PancakeSwap and many are still thinking it's just another $UNI fork.

This thread is 3months too late... but still nevertheless
1/ $CAKE is @PancakeSwap governance token that is used to incentivize users on their platform.

You can get these tokens simply by providing LP or by staking $CAKE on their syrup pools.
2/ $CAKE has no max capped supply. This is when things get really tricky.

Many still thinks that high inflation rate + infinite supply would result in price falling over time.

I will explain more about this later in this thread.
Read 11 tweets
16 Mar
My second 100x

Feeling emotional.

1. $RUNE
2. $LUNA

1/ Shoutout to @thorchain_org and the rest of the community whom continuously help improve the project.

I've seen it grown from an IDO to 1 of the top projects in this #DeFi.
2/ Shoutout to @terra_money for building real world product that continuously help improve the broken banking system we see today.

I've seen it grown from -75% to now over 25x from sale price.

It's been a crazy long journey.
Read 8 tweets
24 Sep 20
Earlier this year, I wrote a thread to explain how the TVL affects $RUNE MC.

Kinda feel that the space has too much fresh blood and education is needed again. Here is my thread below to explain how TVL affects $RUNE prices!
1. How is $RUNE price move with TVL?

It's simple, $RUNE minimum MC is x3 of TVL in theory. Why do I say so?
First, we must first understand that the pools for Thorchain is a 1:1 balanced pool(just like uniswap).
2. With every dollar staked in the pool, a dollar worth of $RUNE must be staked.

If we stake $1 of $BTC in a $BTC / $RUNE pool, we would need to stake $1 of $RUNE.

Node operators would also need to bond the value deposited by in $RUNE tokens which is $2($1 from BTC, $1 RUNE).
Read 10 tweets
15 May 20
Trading a particular token/coin on cryptocurrency should not have the same behaviour as treating it like a religion.
Sometimes when there are better tech out there, maybe take a step back and evaluate again?
My advice are for all the people dumping their life savings in .
Everyone buying lots is obviously walking into a pit of doom.
Early adopters are dumping large amount thanks to the liquidity we are providing.
Think about that..
I will illustrate with some examples
In 2017, the cash cow was in blockchain projects. Every successful blockchain project gives back crazy 10x - 100x returns.

Sure, might have gave the 100x. It's hard for it to do another 10x.

Whereas small cap oracles have a much higher chance to do a 10x instead.

Read 4 tweets

Did Thread Reader help you today?

Support us! We are indie developers!

This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3/month or $30/year) and get exclusive features!

Become Premium

Too expensive? Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal Become our Patreon

Thank you for your support!

Follow Us on Twitter!