Hockey

The LUNA price goes to zero and the world “turns” cryptocurrency blockchain

Blockchain Terra announced earlier this evening Thursday (12) that it has stopped making new blocks to prevent government attacks and reduce the damage from the price drop that has led to and the actual LUNA symbol did not sell the value of the stablecoin. UST, for the ecosystem.

Announced by UST’s official Twitter account. The blockchain is “deleted” in block 7603700.

On Friday, the price of the LUNA stock fell 99.3% in 24 hours. The bottom line is thought provoking: on May 4 it was US $ 87, and now, this Friday (12) at the time to write this report, it is quoted at US $ 0.01559025 – nothing.

rest slowly

Shortly before the blockchain project was completed, Terraform Labs, the company responsible for the Terra ecosystem, announced a project with Three problems attempting to rescue LUNA from the ship.

The three measures are to burn the remaining UST sign in the community, to burn any UST available in Ethereum, and to secure $ 240 million in LUNA for protection. The project from a government attack.

However, with a market size of US $ 106 million, the LUNA is not small enough to support Terra’s release and flare -up and return the US $ 7.3 billion market size. UST in balance with money. In this way, the Terraform team intends to destroy UST without replacing LUNA.

Completing the work, however, leaves a question mark as to the feasibility of these plans and the future of the entire Projeto Terra.

There is no balance

The death spiral, as a way for wealth to die quickly and unsustainably, began when the UST stablecoin lost with the currency.

After all, it is the system that drives the ecosystem. Each time UST was purchased, most of the LUNA logo was burned. This increased the cryptocurrency price.

Therefore, Terraform Labs, which owns a large number of LUNAs, is more valuable and valuable.

With that money, the company provides scholarships to the Anchor protocol, which is important to the ecosystem.

According to Caio Garé in a video published a month before the fall, a large portion of UST’s voice was dedicated to the Anchor protocol, which paid 19% interest to each year to the person who kept their resources on the threshold. therefore, he shall pay.

Nearly $ 16 billion was held by the Terra project in its UST stablecoin at the time, more than $ 11 billion in Anchor.

The problem is, the credit system only owes $ 2 billion. The tenants were well paid with donations made by Terraform Labs.

When UST lost money, it stopped trading and a lot of LUNA signals started – that is, the property was going to be lost.

the death of the moon

The LUNA token shows the same situation as shitcoins that lost their value overnight.

In the opinion of some market experts, this process is more difficult than to nail the actual death of LUNA.

“LUNA’s promise is over,” businessman Daniel Duarte said Bitcoin form. “Luna’s pricing today is like a company that went bankrupt when the market saw a fraud. just the same. You can live for years, years, in a place laula between 1 and 0, or between 10 and 1 ”.

As for the ecosystem of the Earth, with LUNA and UST, their promises are far more important than their fulfillment. “The reality is 20% don’t swear good to be true “said the merchant.

The only time LUNA’s reinstatement, in the expert’s opinion – given before the blockchain “shutdown” – is when the program has some Bitcoin (BTC) stored in it. the archive “to provide some kind of light at the end of the tunnel.” .

However, this can be difficult. The bitcoin fund of Luna Foundation Guard, a Terra ecosystem (LUNA) responsible for securing support for UST stablecoin, was completely shut down earlier this week.

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