The Terra project is great but the focus is primarily on the US and SEA market.
I suggest to put also a strong focus on an EURO Stablecoin based on Terra/Luna.
This would be a great opportunity, as the EURO is weak and inflation in Europe is high, both due to higher money printing rates than in US.
There is a big demand for an EURO pegged EUT (based on Luna), it would be used by millions of Europeans and thousands of savvy European developers could contribute to the Terra ecosystem.
You’re saying EURO is weak and inflation high, but how is EUT supposed to help?
Why is transacting with EUT a better experience than with regular EUR, and who would realistically be using it?
There are thousands of Europeans who would use EUT immediately for saving and investing in DEFi.
For example they are forced to use UST when they want to earn 20% APY interest on Anchor. But in this case there is always the forex risk between USD and EUR.
I’m from Europe. I see what your are saying, but as long as USD is the standard currency, you have to use UST. Same way you have to do if you want to buy stocks/bonds internationally. EUT is there, people don’t use it because there’s no real use for it. If commerce could be done in EUT in Europe I guess that would change, but it’s still a long way away. Imagine that before the pandemic, most small business didn’t even took debit/credit cards. Imagine the leap to decentralized money.
I think it would facilitate adoption in Europe if EUT was an option. As mentioned before, we use EUR for living here, having for example Anchor available in EUT would make it easier to see the benefit. When you introduce FX exchange it just introduces a barrier, you need to understand and manage forex risks.
Vertex protocol just made an interesting proposition regarding this in a recent interview. They could use some sort of perpetual futures to manage getting aEUT anchor, which would yield less or more depending on the exchange rate but would give more stability to euro users of these platforms.
The bottleneck is adding a huge amount of liquidity overnight for common pairs like bLUNA/EUT, UST/EUT, LUNA/EUT, ANC/EUT, etc.
Also, the only way to achieve this without burning a lot of money in the process is to cooperate with European fintech, marketing, sales corporations and introduce a similar app to Chai in Korea. The problem is, in Korea it actually made sense, in Europe, card payments are way cheaper and more reliable.
Demand.
If we skip real world applications, we still need a huge amount of liquidity, especially if we want to incentivize users with similar rates in Anchor. So think about this: how and when should we get this liquidity.