In favor of compensating people holding LUNA as well those with UST, I have to add that I bought some LUNA ($10) at 0.0003, and obviously it’s a gamble, and I don’t want to get that money back (in case I end up losing it). But there’s people who bought LUNA at $30, or much higher prices, and spent a lot of money (thousands), and I think they should not be left out.
Hey, what about people who moved ust funds to an exchange during the depeg event but didn’t sell any token? I held all my UST on anchor for months, I got fear and I moved all my coins on Binance but I still
hold all of them.
I agree that Luna should be rebuilt in some way, obviously this would take time, but would probably be at the cost of UST. Holding any crypto you know you are risking your assets going to zero. A stablecoin is a completely different story.
I think many will agree it is important to make UST holders whole again. Luna will take time to rebuild but if the team doesn’t give up I could maybe see a recovery in the years to come for Luna holders.
UST holders before the depeg should be reimbursed 1:1 or as close to $1 peg as possible with the cooperation of exchanges / protocols.
Either this or restore the peg? EDIT: (implications for those left at a loss panic selling or swapping funds during crash) So this may not be as fair as a refund.
Anyone care to discuss?
You saying LUNA cant be salvaged, kills the whole community. Real world lives with credit risk and so should every ecosystem.
In other words you are suggesting give 20% yield risk free ride and bail me out. Sorry 20% yield means Junk Bond, way across the risk curve. People need to manage their risk.
LUNA has an intrinsic value and will eventually find it if given a chance, and grow it with its community. Mercenary double leveraged capital has to manage risk degens get bailed out and LUNA believers loose.
Sorry Big fat NO
Everybody assume Luna2 will be listed on exchanges. The starting value of a forked coin is 1 usd. But everybody will dump.
And Do Kwon wants 40 for his team and himself. He should take 5% for causing this mess.
How about combining Do’s Revival Plan with FatMan’s Tiered Repayment?
Perhaps something along these lines can appease the most participants.
Agree. Discussion and speculation are virtually moot with the volume of scenarios we have now sorted through until we have an update from TFL.
Do Kwon is chilling. He aint reading discussions of poor and/or stupid people.
The idea behind this proposal is triage, which is what should happen. It is obvious that the adoption of UST and LUNA was through the labor and information distribution of small wallet holders. If you are not a small wallet holder and a crypto millionaire, engaging in the discourse that this proposal suggests is counter productive. Do Kwon’s governance proposal is way more “egalitarian”, but we don’t live in an economically egalitarian world and the triage applied to smaller wallets would repay the holders of UST who, at the time of the death spiral of LUNA were simply putting faith in the hands of a bank, not an openly traded volatile asset. If Do Kwon wants to rebuild Terra with the help of his venture capitalist investors or high rollers, that is fine, but there needs to be repayment for average every day people who put what little they had into this network, lent their livelihoods to UST and have suffered devastating losses due to the negligence of large capital.
It might be completely impossible to do any of this, but as someone who lost a measly 37,000 dollars in a matter of days due to a stablecoin and works a wage job and had faith that this was a way through living paycheck to paycheck, I don’t believe that I, or anyone like me should shoulder the responsibility of large capital leaving LUNA and UST.
I saw, in an earlier post, someone advocating for only favoring people who stuck with the ship while it was going down. Of course people with smaller hands would jump ship, with good trading and smart investments, large capital can recuperate their holdings, but someone who went from 30k-1k in a day will take years to get back to their position. I don’t see the need to advocate for the wealthy at the moment, I think that the people who had the least had the most to lose. I hope that I, and everyone like me, can recuperate some small amount of money, even if it were 20k, so we can live our lives and provide for ourselves.
You didn’t read the proposal. 20% yield not refunded only previous UST holdings.
@FatMan I think you put forward one of (if not the best) so far.
However, without exogenous capital coming in, there isn’t enough capital with TFL, LFG and the community fund to execute this.
Almost all of it is in UST and LUNA and there isn’t enough liquidity and buy demand to keep it from crashing during a swap. Unless there is BTC left (I don’t believe so) then it’s only AVAX, UST and LUNA. Collectively worth about ~$1B right now but with UST and LUNA making up 90%+ any redemptions to something like USDT or USDC would cause a further price decline.
Unfortunately, I think Terra is likely too far gone unless a significant burn happens and somehow a bit of faith is restored in the chain.
Thanks for the update do you have any clue which you are able to share regarding when we will get the information you mentioned?
Luna blockchain is currently functioning (not as it is suppose to) but it still is. They should be allocating a percentage of trading fees or tx fees to a new fund that is to protect/make whole the affected UST holders prior to the depeg.
I agree with you. And those lucky ones that were able to close their short farms would have end up with a bunch of UST after the deppeg and would not be compensated. So sad for Mirrors users, what started as a safer alternative to crypto (synthetic stocks), it ended up being worse because the only way to exit is via UST.
This is certainly the best proposal for the community but not the best for Terra Foundation, which is why we will never receive a response.
Guys please check
Dear FatMan, thank you for the well explained proposal, it gives the community the hope we need I have a question regarding the UST holders eligible for this proposal. I bought UST a couple of months ago (way before the depegging) on an exchange and staked UST via the exchange. Will people like me be eligible to for this proposal?
Bringing back faith of the community is good for Terra Foundation.
@FatMan would some sort of tax per trade or transaction (Binance seems to be moving millions in USD value in Luna) help? Those funds, could be collected to go towards some sort of tiered repayment.
there should be a way to link terra wallet transactions even post depeg to see if users who had UST went to an exchange and converted it, or kept it; that way users like myself who just moved off other platforms like stablegains, Alice, Kash, etc. but KEPT and DID NOT SELL any UST at all after the initial depeg event should still be eligible to receive back full USDC/USDT per the amount at the time on snapshot taken…
Current proposal does not cover situations like this where funds were moved because of fear but not sold or more purchased at a lower discounted UST price @FatMan