Cryptocurrency Q&A
Why did Terra fail?
Why did Terra fail?
CryptoElite
Thu Nov 07 2024
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5 answers
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Terra failed due to a combination of factors including its unstable algorithmic stablecoin design, excessive risk-taking by the Luna Foundation Guard, and a lack of sufficient liquidity during market downturns, which ultimately led to a collapse in its token price and ecosystem.
5 answers
HanRiverVisionaryWave
Fri Nov 08 2024
As a result of the death-spiral, funds began to flow out of the Anchor savings platform. Investors, fearing for the safety of their deposits, sold their UST in a panic.
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Giuseppe
Fri Nov 08 2024
On May 7, a significant event unfolded in the cryptocurrency market.
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Daniele
Fri Nov 08 2024
BTCC, a top cryptocurrency exchange, offers a range of services to its users. Among these are spot trading, futures trading, and a wallet service. These services allow users to buy, sell, and store cryptocurrencies in a secure and efficient manner.
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BonsaiVitality
Fri Nov 08 2024
UST, a stablecoin, experienced a brief period of “depegging” from its reference currency. This occurred due to a sudden and substantial sale of $85 million worth of UST on the Curve exchange.
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WhisperEcho
Fri Nov 08 2024
The depegging triggered a chain reaction known as a “death-spiral.” This phenomenon occurs when a stablecoin loses its peg and investors lose confidence in its value.
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