It was not a very clever move. The announcement of more LUNA printing just dumped the price of LUNA to zero and now you never even more LUNA to exchange 1 UST to a 1 USD... is there anyone in terra that actually understands market psicology and basic economics? And LUNA users voted yes ... that is really hilarious
It's because they are trying to save the soldier UST
With that they sacrifice their beloved child Luna Don't people see it? This saving of UST is only temporary
They need to repeg the UST first, this priority for market to have confidence back
Well clearly it didn't work... Destroying the price of Luna with an announcement just made it harder to regain UST peg
The very purpose of LUNA is to stabilize UST. When UST demand goes up, LUNA is burnt and hence you get high priced LUNA. But, when UST depegs, LUNA is minted to buy back UST. Because, a depegged UST has no demand whatsoever. LUNA will go up again only when UST repegs and Anchor outperforms USDD yield. Otherwise, the ecosystem is doomed either way.
I know it's the only thing they can do. But if the market doesn't change soon I am afraid UST won't peg for long (if at all)
Selling pressure more or less disappeared when the luna proposal was accepted. Hence to me it seems like whales are just waiting for the best moment to dump their bags once the luna mining/UST burning is done
UST is already under recovery and, I believe, it will repeg soon. Due to paper hands, it'll probably dance for some time between 0.9 to 0.99 though. Problem is Anchor rate is now going down and this severely hamper UST demand, as there is another player with better yield in the market. This issue needs to be handled.
Another player? Just lost peg
It went from 0.6 to 0.95 already. Then down again. Something tells me this will happen again and then no recovery will be possible. But i hope I'm wrong
LUNA & TRON are not pegged to $1.
Tron's stablecoin lost peg
Who is the other player?
Currently USDD is $1.01 on CoinGecko, while UST is $0.56.
So, where can I see it's lost peg? Bottom on CG is ~$0.98 only. That's not lost peg.
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