I am not really a fan of regulation, but looking at Luna I think it can be some what helpful, Luna has done quite a fait bit of damage to the cosmos atom brand and I am sure we all want to avoid that for radix. I also dont want stiffle growth in the eco system or development. But Luna was a dangerous irresponsible risky project to say the least and I wonder is there anyway to regulate projects on a decentralized environment to avoid those who put others at risk.
No one could ever predict such a dramatic collapse. Before the crash, luna was considered one of the recent most influential and positive projects in the entire crypto world. At the time, I don’t think there were grounded reasons to prohibit the development of such an innovative project. It happened so fast and out of the blue, that it was so hard to predict. Anyway, this will surely bring in regulation of stables and crypto in general: this will provide stability to the market and invite other money in. From my point of view, LUNA’s idea was cool but unsustainable. I like to consider them a victim of their own irrational exuberance.
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No not really, alot of people warned him months before this could happen. I am sure somethin like this could happen again,
Do Kwon was not 19 when he launched TerraUSD, but in his late twenties. Nonetheless, he similarly promised investors something extremely cool and useful – a decentralized stablecoin – without a novel, or even sophisticated, approach to actually building one. In fact, he basically copy-pasted the tokenomics of projects that had already failed and that close observers warned for months would fail again under the Luna brand. Then it did fail - in May 2021, when TerraUSD’s market cap was just $2 billion
https://www.coindesk.com/layer2/2022/05/11/do-kwon-is-the-elizabeth-holmes-of-crypto/
USTD is another one, we dont know if they have the money in the bank, they have been vauge, another stable coin collapse could be very verrryyy bad fore the space.
True, but in my opinion you can’t prohibit the development of a project, if this project during its initial phases seems legit and potentially good. More than “stopping projects like luna building in radix”, what Radix should concern more is “ok, we are aware that this project built on radix failed, how can I avoid that this failed project turns into a scam/crime?”