17 ms·
Luna Founder Requests Police Protection as Investors Are Visiting His House
- jpeter 4y agoHe deserves the same protection his investors had. Absolutely none
- gregjw 4y agoPoor guy. But also, can't he hire private protection? He's still got a lot of money.
- aphroz 4y agoSo we need some regulation after all
- deleted 4y ago[deleted]
- Cthulhu_ 4y agoRegulation for thee but not for mee, or something.
- hathym 4y agotranslated link: https://news-mt-co-kr.translate.goog/mtview.php?no=2022051308574726920&_x_tr_sl=ko&_x_tr_tl=en&_x_tr_hl=en&_x_tr_pto=wapp https://news-mt-co-kr.translate.goog/mtview.php?no=202205130...
- enlyth 4y ago
- richardfey 4y agoI don't think he really understood that the "peg" could become effectively unhinged and that for such reason it was not ethical to sell vain promises.
- caoilte 4y agoThis was his second failed algorithmic stable coin and he hid his involvement in the previous one ("Basis Cash").
- hathym 4y agomost crypto coins are a ponzi shceme and will die one day or another.
- Shadonototra 4y agofrom $80 down to 0 overnight https://coinmarketcap.com/currencies/terra-luna/ https://coinmarketcap.com/currencies/terra-luna/
- schleck8 4y agoNo way, did he pull the rug? How is this even possible
- swah 4y agoOne guy on twitter said his net worth (or something) went from $2B to $100 in 5 days...
- Shadonototra 4y agoi just bought a shit ton of LUNA since binance resumed trading let's see if that gamble will work out :p
- haasted 4y agoIn addition to that, incredible amounts of Luna tokens have been printed as part of the "stabilization" algorithm. The supply went from around 700M tokens to nearly 7 trillion in a few days. Source: https://terrasco.pe/mainnet/luna/supply https://terrasco.pe/mainnet/luna/supply
- stefan_ 4y agoWasn't there a twitter thread on their great plan to fix this? Instead UST is now at $0.11 and obviously headed to 0.
- raesene9 4y agoThere's been several proposals from community members about "solving" this. From reading them they seemed to fall into two camps "save Luna trash UST" and "save UST trash Luna" but both relied on the idea of some external party injecting a large amount of capital to restore confidence, and in a lot of existing participants losing money. Perhaps a suffienciently large rescue early in the problems could have solved it, but confidence is now gone and I can't see it returning to these projects.
- Tenoke 4y agoI believe the leading current plan is to relaunch it with a different peg mechanism and airdrop the initial tokens to previous holders which does seem like the only way for them to salvage it though obviously trust in the chain will be low. https://agora.terra.money/t/luna-go-forward-proposal/7136?fbclid=IwAR3IgQi89AcsNIck9djrgtI4dD5B57968_FUQEhvuiucJg082fRODvJJ1RA https://agora.terra.money/t/luna-go-forward-proposal/7136?fb...
- numair 4y agoIt’s important to understand that this is a Stanford educated, pampered brat who would taunt people with “stay poor” whenever anyone asked basic diligence questions. He built his fallen empire on the back of a bogus “governments are bad, people have to be able to stand up to them” BS narrative (that a lot of the HN crowd blindly parrots as well without thinking through the consequences — life isn’t Zero to One). Given this context, I do not think the police should honor his request. If Do Kwon was American, he would be the sort that would support utter trash like RAGE (Retire All Government Employees). People like him and their mind viruses are destructive to proper civil society. Then again, the Korean police aren’t stupid. I am guessing they will “protect” him so he can be handed over to the US federal authorities, who haven’t been shy about the fact that they’re looking for him. Also — if you work in crypto, you want this guy arrested and gone from the scene. These are the sort of selfish bad actors who will shamelessly blow up an industry and blame it on the industry rather than themselves. I can already see Do Kwon becoming the singing voice of why crypto is bad, as a way to save himself.
- Joeri 4y agoI don’t think the disposition of this individual has any bearing on whether the police should protect them from criminal acts of aggression. The police should protect all equally.
- nikanj 4y agoThis reminds me of people who argue that fire departments should be an opt-in service, yet still get angry when their house burns down. Crypto bros spend all their energy slamming the government. Why should they get to enjoy the protections of the government they hate so much?
- setr 4y agoThey can complain all they want; that doesn’t mean a government and its responsibilities to its citizens suddenly vanish. Vice versa, endlessly praising your government does not suddenly grant you greater rights and privileges Well, it shouldn’t anyways.
- jzellis 4y agoI guess that invisible hand of the free market can't install a security system. :-D
- pearjuice 4y agoBernie Madoff's scheme had an estimated $18B of actual losses. At it's peak, TerraUSD and LUNA had a combined market cap of roughly $80B. Though market cap says nothing about actual value invested, there could be a few billion dollars in actual losses. A popular Youtuber (40M+ followers) casually tweets about turning $3M into $1000 (latest value: ~$0) buying "the dip"[0] and his followers applaud him. Probably a few of his followers followed him in his footsteps not realizing you shouldn't take financial advice from an entertainer. Searching Twitter[1] with some specific keywords reveals retail investors completely losing it and demanding refunds. On Twitter/Reddit there are claims people contemplated or performed suicide because they lost their life savings[2]. Wouldn't surprise me if some people can't control their emotions and attempt to lash it all out on the person who in their eyes caused all of this. I have no sympathy with him creating this "guaranteed 20% APY" ponzi scheme but for his own safety it would be wise to go into hiding for the mob which is coming for him. [0] https://twitter.com/ksicrypto/status/1524760834400006145 https://twitter.com/ksicrypto/status/1524760834400006145 [1] https://twitter.com/search?q=%22please%22%20%22life%20savings%22%20%22luna%22&src=typed_query&f=live https://twitter.com/search?q=%22please%22%20%22life%20saving... [2] https://twitter.com/Mete01524584/status/1524876715692015616 https://twitter.com/Mete01524584/status/1524876715692015616
- jsmith99 4y agoAt least Madoff's victims got 90% of their money back.
- charcircuit 4y ago>[0][1][2] It seems like these people do not understand what LUNA even is. >[1][2] These people should not have gone "all in" on a risky investment. Even without the hindsight we have currently algorithmic stablecoins are very risky. LUNA grows in value when demand for UST increases, but if people want to exit the ecosystem that is going to mean that the value for it is going to go down. If a lot of people want to exit at once it will be even worse. >guaranteed 20% APY Anchor is just one dapp in the terra ecosystem and at it doesn't offer a guaranteed 20% APY. Also if you are looking for high APY in defi with stablecoins, Anchor isn't the only place to find it. I can easily find ~30% APY in an different algostable right now. Algostables are risky to hold so they incentivize you to provide liquidity with good rates. I also see 50% APY for supplying liquidity between a BUSD and USDT trading pair which is fairly safe, but the rates for this one will drop soon once more people take advantage of this.
- chinathrow 4y agohttps://twitter.com/terra_money/status/1524935730308456448 https://twitter.com/terra_money/status/1524935730308456448 Wow, these replies right there. Some people lost a lot of money.
- raesene9 4y agoWhat's even wilder is the number of people in the replies still trying to buy Luna!
- nikanj 4y agoThey're trying to buy hope. Life is hopeless for a very large part of the population - if you play your cards just right, work hard and sacrifice lots, you can barely survive and make rent. Putting your last $50 into stupidcoin might help you break out of the Groundhog Day-esque horror that is working class USA.
- dredmorbius 4y agohttps://nitter.kavin.rocks/terra_money/status/1524935730308456448 https://nitter.kavin.rocks/terra_money/status/15249357303084...
- FinnKuhn 4y agothe pinned post on the subreddit is literally a suicide prevention post...
- schleck8 4y agoThis is getting worse by the minute, i can't believe it. Hope the people who promoted the shitcoin sink to the ground in shame. I doubt it though
- tluyben2 4y agoI think, as more or less a unique point in cryptocurrency history, that these people who promoted it also got around nothing. Many 'diamond hands' (such a strange concept for such a volatile asset) in this community it seems.
- mycroftiv 4y agoFollow the money and the mana of the land and the spirit in which people act and watch the eyes and the skies and Bad Actors are kinda easy to spot after awhile.
- boeingUH60 4y agoHe should hire private protection. Funny how an anti-government person runs to the government in times of trouble. My unpopular opinion is that this guy should be mugged in the streets for running a shitcoin ponzi...but that's just an opinion. In reality, he should be handed to US authorities and serve a long prison term.
- schleck8 4y agoI don't participate in the crypto market but saw him yesterday on twitter for the first time, and guess what, he was telling people that they are poor for questioning his business practices.
- papito 4y agoThe crypto bros were telling everyone on Twitter to "enjoy being poor", when they were loaded up on Luna. How am I supposed to feel about that kind of attitude?
- cypress66 4y agoMost countries don't allow private police, especially for individuals. This is probably the case in South Korea. So even if he wanted, he couldn't. I don't know anything about him, but if he is an anti government guy it's very likely that he is indeed in favor of private defense agencies.
- ivanche 4y agoPrivate _protection_ is very different from private _police_. How do you think movie stars, mega popular singers etc. hire their… well, private protection?
- cypress66 4y agoThose guards are mostly for show. They really can't do anything. Even then, in South Korea it's even worse because I'm pretty sure they can't even carry a gun.
- nojs 4y agoDoes this mean USDT is next?
- Tenoke 4y agoNo, this has close to nothing to do with USDT. The current bad market conditions might also be bad for USDT and could potentially cause it to fall (though I wouldnt bet on it personally) but there is no connection beyond that.
- Shaanie 4y agoTether did lose its peg for a few hours, although like you said it's an unrelated and different mechanism.
- phh 4y agoUST/Terra was pegged to the dollar by diluting Luna to the infinity, assuming Luna would keep a non-zero value. I still don't understand how can anyone think this can be a good idea, so my understanding could be wrong. Anyway, USDT has no such requirement it's pegged to the dollar by Tether company actually exchanging USDT at 1$. That's not saying USDT won't crash, (there are reasonable fear of wrongdoings) but those two are really not alike
- prepend 4y agoDoesn’t it highlight the insolvency of USDT because they don’t actually have the assets to exchange all their coins for $1 and won’t conduct a proper audit to confirm or deny? It should be fairly easy to do a run on USDT, but not sure if anyone would make money from this.
- mijoharas 4y agoCan someone explain what happened with Luna? I'm not aware of it. People here are calling it a ponzi scheme, but I can't find any explanation of what the deal was. (there is this forbes article that only talks about it tanking[0]) [0] https://www.forbes.com/sites/stevenehrlich/2022/05/11/luna-nosedives-under-2-loses-98-of-its-value-as-terraust-struggles-to-regain-its-dollar-peg/ https://www.forbes.com/sites/stevenehrlich/2022/05/11/luna-n...
- once_inc 4y agoStart here: https://www.bloomberg.com/opinion/articles/2022-05-11/terra-flops https://www.bloomberg.com/opinion/articles/2022-05-11/terra-...
- Tenoke 4y agoIt wasn't a ponzi in the traditional sense but the algorithm propping their stablecoin while likely well-meaning had a serious death spiral-based fault in the case of a coordinated attack or very bad market conditions. For what is worth, they did have a healthy (for smartchains) ecosystem beyond that stablecoin and were clearly attempting to do more than temporarily prop their token and then run away.
- raesene9 4y ago
- gigatexal 4y agoAhh man ... something, something the "revolution will be televised."
- aloneranger 4y ago
- Proven 4y ago
- grnmamba 4y agoShould be the final nail in the coffin for algorithmic stablecoins (which are only stable until too many people stop believing that collective fiction). I do hope he goes to jail - for his own sake. People have been killed for much less money. There are some posts in this thread accepting the violence against him. I disagree, if he broke the law he should be judged and punished fairly, not by mob justice.
- TacticalCoder 4y agoCan anyone explain how comes Luna/UST failed at being an algorithmic stablecoin while DAI exists since 2017 and managed to hold its peg through crazy turmoil (like the price of ETH crashing from 1400 to 80 and then skyrocket to 4000)? Why isn't the same "attack" happening on DAI, which is a big target ($6 bn of DAI worth $1 each, with $10 bn collateralized)?
- kragen 4y agoMaybe because Dai is collateralized with Ether, which is a much thicker market than Luna/Terra/UST, because you can use Ether for things that aren't Dai?
- roywiggins 4y agoWell, that and Luna is only worth money if Terra is stable, and Terra is stable if Luna is worth money. I don't think Dai is susceptible to the same sort of death spiral.
- kragen 4y agoRight, Ether is still worth money even if Dai implodes, even if maybe a little less so, for reasons that aren't strictly about how thickly capitalized the Ether market is.
- roywiggins 4y agoThere were like $18bn Terra. It was "backed" by maybe $3.5bn of BTC, and by minting Luna from scratch and hoping people would assign a nonzero value to the Luna token. https://www.cnbc.com/2022/05/05/luna-foundation-guard-bolsters-stablecoin-reserve-by-raising-1point5-billion-in-bitcoin.html https://www.cnbc.com/2022/05/05/luna-foundation-guard-bolste...
- deleted 4y ago[deleted]
- skc 4y agoIs there _anyone_ working in crypto (other than Vitalik) that is actually likable? All these guys seem so self important and smug that I have a hard time sympathizing with them.
- darthrupert 4y agoThat's a long known problem of the nouveau riche. Too much money too fast is tough to handle in a classy way.
- pikelet 4y agoSilvio Micali?
- schleck8 4y agoYou are clearly just poor and jealous and not smart enough to understand crypto, the second coming /s
- Rastonbury 4y agoPart of the shtick and cult idea of alienation to create a common enemy or 'the other'. "Those guys are dumb, they can't see it, but you can, cuz you smart!" (Twitter is geared to show you these hot takes, they also bait reasonable people to 'engage')
- S6eUL 4y agoNot sure about "likable", but most of the high-profile people in crypto behave professionally. For my taste they are actually far too timid when it comes to talking about projects other than their own. Everyone is always super positive and hyped and agreeable and sure, there are "tons of scams out there" and "99 % of projects will die" but you rarely hear names.
- almostkorean 4y agoYep, I avoid mentioning specific names as much as possible so I don't come off as a maxi or a shill. Also very uncomfortable mentioning anything specific to friends because I don't want them to interpret it as financial advice or get FOMO when I have no idea what a token's price will do
- mlazos 4y agoAfter reading about stable coins they seem completely idiotic. I get the idea that pegging it to the dollar via arbitrage is great and all, but arbitrage only seems to work (like in ETFs for instance) when the underlying assets have value and high trade volume. Once trade volume goes down price stability goes out the window and you end up with this shitshow. Once that happens everyone leaves and the “value” is gone. It’s a death spiral waiting to happen.
- usrusr 4y agoFunny how I had never heard of luna before but had no trouble inferring from the headline that this was something about crypto. (headline was "Luna Founder Requests Police Protection as Investors Are Visiting His House" at the time, in case it was changed)
- kgc 4y agoPutting him in jail might be the best thing they could do to protect him.
- jmyeet 4y agoI'm disappointing that so many who are openly promoting vigilante justice. Remember this is pretty much just doxxing. I understand ther's a certain amount of schadenfreude here, particularly given Do Kwon's open disdain for nocoiners. I also understand some people have lost their houses (seriously, go look at the TerraLuna subreddit; it's dark). I also realize the irony of an Ancap requesting state protection. But it's sad to see how many people who somehow feel comfortable with sending other people death threats, directly threaten violence or try and get people injured or killed by the state (ie swatting). It's a form of mental illness and it shouldn't be encouraged.
- schleck8 4y agoLook at this and tell me it's not an actual cult. After reaching almost 0 $ in value > Let's hodl and believe that Luna rises again!!!! > Hold on, brothers, summer is coming, the sun and a sea of positivity. There will be a time of growth and huge victories. LUNA ahead!!!
- LittlePeter 4y agoI am reading that the Terra/Luna blockchain was halted at least twice in last couple days. How is this possible? Is Terra/Luna blockchain centralized?
- charcircuit 4y agoThere are 130 bonded validators based off the validators who are staking the most. If >=33% of the staked Luna becomes inaccessible the blockchain can no longer make progress.
- pru567 4y agoSince hn is so negative on crypto, it likely missed the interesting details of the technical attack. Terra was doing a migration from a 3-token curve liquidity pool to a 4-token curve liquidity pool. During this migration their reserves are vulnerable, at at this point a well-capitalized attacker borrowed 100k BTC, converted it into UST and started attacking the peg. https://www.youtube.com/watch?v=FqW4-FGA9j4 https://www.youtube.com/watch?v=FqW4-FGA9j4 Its related to the curve wars which itself is an interesting walk through game theory. https://every.to/almanack/curve-wars https://every.to/almanack/curve-wars
- omnimus 4y agoSidenote (and i am going to be negative on crypto) but the first 10 minutes of this video are pretty wild to me? They keep saying how this is normal, happens, you will recover, it happened to all of us. Really? 50bilion dollars get hacked and response is "invest more money you will recover". Then there are multiple crypto ads about protecting your "hard earned money" (wtf whats less hard earned than investing) and about wierd investment tools that will automatically invest into some esoteric assets the host gets stuck reading because even he doesn't know them. Finally they explain some really complicated mechanism this tech was using. That left me wondering what is this even for? From outside it all seems quite crazy.
- pru567 4y agoWhile looking into this, I also ran into the "DegenBox UST MiM strategy" which allegedly gave 100% returns (until it didn't), but atm I don't understand the mechanism; I think it will make an interesting addendum to the story for the intrepid reader/rabbit hole explorer.
- pru567 4y agoFurther addendum includes this attack; "As the LUNA price continued to plummet, the Chainlink price feed used by the protocols became inaccurate, allowing funds to be borrowed against vastly overpriced LUNA collateral." https://rekt.news/venus-blizz-rekt/ https://rekt.news/venus-blizz-rekt/
- fmajid 4y agoi think he should get his protection from corrections officers, like any fraudster.