$UST / $LUNA death spiral is one of the biggest disasters in the crypto history.
Who is guilty?
@stablekwon? @LFG_org? VCs? Apes who overinvested without understanding the mechanism of the system?
All of them. But it's also me. And maybe you too.
Read my confession. 👇
@stablekwon@LFG_org I first learned how $LUNA and $UST worked after the crypto crash in May 2021.
I was a degen farmer then and I had a fraction of my stablecoin portfolio in UST on @mirror_protocol but I wasn't really aware of UST mechanics. I thought it was just another exotic stablecoin.
At that time I didn't know much about #Terra and its powerful backers. But I had experienced other failed experiments and learned not to wait too long when a bank run scenario was probable.
@stablekwon@LFG_org@mirror_protocol It turned out later my panic wasn't necessary. $UST restored the peg quite quickly (probably with the help of substantial external capital of $LUNA investors).
But my faith in $UST / $LUNA system was shattered for good.
@stablekwon@LFG_org@mirror_protocol I expressed my lack of confidence in $UST and $LUNA in various private groups I'm in, e.g. @DeFiOmega:
- "UST is just bad model for stablecoin"
- "Reflexivity is good on the way up because LUNA is burned. But on the way down it puts the whole ecosystem at risk."
Strong Community + Ponzi Mechanics = Substantial Profits
I bought LUNA in August 2021 shortly before it reached its new ATH. I could respect the pump happily.
@stablekwon@LFG_org@mirror_protocol@DefiOmega But the fact I became $LUNA holder didn't change my perspective on the whole system. I still considered $UST and $LUNA as a faulty mechanism and expressed my opinions openly in the private groups, even though it meant I was fudding my own bags.
Although I never endorsed $LUNA or $UST on my Twitter profile, as I didn't want to lure anyone into this game of musical chairs, I also never publicly said anything against it.
I shared my fud in private groups but not publicly.
We can either restrict crypto to an online casino or literally build a better financial world.
The latter sounds better but requires more responsibility and courage.
Be the change you want to see.
Thank you for your time. If you share the same values, please go to the first tweet linked below and like / retweet it to send the message to a bigger audience.
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- @OlympusDAO starts buying OHM with treasury assets.
- OHM liquidity gets reduced by $122M which makes the price impact of buying pressure stronger.
- $61M worth of OHM gets burned.
Number go up?
Read on for more details.
OIP-94 (Olympus Improvement Proposal) is now in voting with nearly 100% of voters being for the proposed changes: snapshot.org/#/olympusdao.e…
This OIP grants the protocol authority to actively use its treasury and protocol-owned liquidity (POL) in order to move $OHM price up.
How?
The key to push $OHM price up is in the combination of two mechanisms:
- Inverse Bonds above backing
- POL management
Both are supposed to help Olympus conduct efficient market operations.
I lost a lot of money in multiple DeFi exploits. It changed me.
If you have suffered from $BEAN exploit today, I'm sorry. I was lucky enough not to play this time but I get your pain.
I have 5 tips for you. It won't give you your money back but maybe you will find it helpful.
It will get better
There are 5 stages of grief and it's likely you will go through them. It starts with denial and anger, goes through bargaining and depression and ends with acceptance.
It will take time but you will accept the loss eventually. You will truly get better then.
Don't blame others
In anger phase you may lose your temper and start blaming others for your loss. Some influencers on CT recommended you the protocol? F... them! Don't be silly. You are the one who took the risk and the loss is on you. Embrace it.
The Merge - the most significant Ethereum upgrade ever.
Big events like this are often "sell the news" opportunities. Some claim this is what will happen with $ETH.
I disagree.
Here is why $ETH will melt faces after the Merge.
🧵👇
TL;DR:
- New $ETH issuance will drop by 90%.
- More ETH will be staked due to higher staking APR.
- All the staked ETH and staking rewards will still be locked at least 6 months after The Merge.
- Institutional Demand will surge after The Merge.
- You don't own enough ETH.
The Merge will remove Proof of Work (PoW) from Ethereum and replace it with the Proof of Stake (PoS) consensus mechanism.
There are many good threads and articles covering it in more details, e.g.:
The consensus on Crypto Twitter seems to be that $LUNA + $OHM + $BTFLY + $FXS have already won the "Curve wars" and 4Pool is going to have the deepest liquidity on Curve. While it's a nice narrative and it pumps my bags, it's also an extremely simplified perspective.
🧵👇
If you need an introduction to what I'm referring to, get familiar with the below thread. Take a note I have a lot of respect to @kamikaz_ETH and he is very smart but I disagree with some conclusions he made this time.
Another thread worth reading that clarifies the game of $CVX and $CRV is linked below. I also disagree with some bold conclusions drawn by @CryptoHarry_ but he explains the mechanics of 3pool and 4pool very well.
With omnipresent fear it's hard to be blindly bullish but when innovation thrives I just can't resist. Let's talk about ERC-4626 and how it impacts Tribe DAO and the Ethereum (or even a broader EVM-chain) ecosystem.
🧵👇
$TRIBE
1) Although @joey__santoro from @feiprotocol explained a few times what ERC-4626 is, I'm afraid not many get it. Me neither, don't worry. There is no shame in not following a dev full of genius. But I made some efforts to comprehend the implications of ERC-4626 and I'm amazed...
2) Let's start with understanding the current state of DeFi.
AMMs have been arguably the biggest innovation in DeFi and yet they haven't really evolved much since Bancor launched the first one in 2017. Most dexes today differ only in front-ends. I crave for substantial innovation and I think it's close. Let's talk about @Bancor v3.
🧵👇
TL;DR:
- Bancor is an overlooked gem but keeps innovating.
- V3 solves all the friction points of v2.1 and makes Bancor ready to compete for a higher market share.
- Although Bancor is already a go-to solution for many DAOs, v3 makes it even more appealing.
1) Imo, there are only a few dexes that stand out:
- Balancer - portfolio management with automatic rebalances
- Bancor - single-sided staking and IL protection
- Uniswap v3 - concentrated liquidity (manual management)
- Curve v2 - concentrated liquidity (automatic management)