10 ms·

> What i want to know is who benefited from the crypto-run on luna. Literally everyone who sold first, that is, the $hundreds of $millions of dollars that wer

> What i want to know is who benefited from the crypto-run on luna. Literally everyone who sold first, that is, the $hundreds of $millions of dollars that were sold on Saturday, May 7th, as described in this article. That's the thing about bank-runs. The *first* person to sell benefits. As the whole community slowly realizes what is going on, they all rush to sell at the same time. This causes the death spiral.

thematrixturtle 4y ago
"Benefiting" is only relative: people who managed to exit UST at $1 didn't make a profit, they just avoided being left holding the bag. The people who actually benefited were those who earned the 18% interest from Anchor, which was funded by the suckers whose "investments" went to zero.
- chii 4y ago
  > The people who actually benefited were those who earned the 18% interest from Anchor These people would have been better served if the whole scheme continued rather than killing it by a run.
  - dragontamer 4y ago
    This was a zero-sum game. The loss of the masses who invested into 18% APY accounts is equivalent to the profits that Anchor made from this scheme.
- dragontamer 4y ago
  > "Benefiting" is only relative: people who managed to exit UST at $1 didn't make a profit, they just avoided being left holding the bag. That confuses the issue somewhat. 5 years ago, UST didn't exist. Sometime in the last 2 or 3 years, Do Kwon started to sell millions, maybe billions, of UST to people, 1 UST for $1 USD. In fact, maybe he sold them for less than $1 USD, maybe he sold UST for 80-cents (to fund over a year's worth of time of 18% APY promises). Everyone who sold UST, over the past 2 years for real USD, got to keep the dollars. The UST bag holders are... well... the bagholders. They have nearly nothing left now. Even those who sold UST at 80-cents or 60-cents last year or two years ago benefits by selling before everyone else did. > The people who actually benefited were those who earned the 18% interest from Anchor, which was funded by the suckers whose "investments" went to zero. The opposite. A bunch of people sold UST to a bunch of others for 82-cents, maybe 90-cents (since it took less than a year for a UST to disappear). Thanks for your dollars, here's a bunch of UST that soon became worthless.
- chii 4y ago
  > who earned the 18% interest from Anchor they might've benefited from the interest during the rise of Luna+UST, but they don't benefit from the crypto-run. They even have a chance at a loss due to not being able to sell early!
chii 4y ago
> That's the thing about bank-runs. The first person to sell benefits. no, those selling due to the bank run don't really benefit from the run (aka, they don't make profit). They just _don't lose as much_ as the last to sell. I'm talking about whether anyone made a profit from this run, like https://www.investopedia.com/ask/answers/08/george-soros-bank-of-england.asp https://www.investopedia.com/ask/answers/08/george-soros-ban... , in which he managed to short sell the pound and gathered enough capital (his and others') to sell the pound to cause it's value to drop (and force the central bank to sell foreign currency to buy the pound, in order to keep the pound peg).
- dragontamer 4y ago
  Anchor, who sold you those UST for 82-cents per 1 UST (aka: 18% APY), was "only going to win" when UST crashed below 82-cents.

thematrixturtle 4y ago

"Benefiting" is only relative: people who managed to exit UST at $1 didn't make a profit, they just avoided being left holding the bag. The people who actually benefited were those who earned the 18% interest from Anchor, which was funded by the suckers whose "investments" went to zero.

chii 4y ago
> The people who actually benefited were those who earned the 18% interest from Anchor These people would have been better served if the whole scheme continued rather than killing it by a run.
- dragontamer 4y ago
  This was a zero-sum game. The loss of the masses who invested into 18% APY accounts is equivalent to the profits that Anchor made from this scheme.
dragontamer 4y ago
> "Benefiting" is only relative: people who managed to exit UST at $1 didn't make a profit, they just avoided being left holding the bag. That confuses the issue somewhat. 5 years ago, UST didn't exist. Sometime in the last 2 or 3 years, Do Kwon started to sell millions, maybe billions, of UST to people, 1 UST for $1 USD. In fact, maybe he sold them for less than $1 USD, maybe he sold UST for 80-cents (to fund over a year's worth of time of 18% APY promises). Everyone who sold UST, over the past 2 years for real USD, got to keep the dollars. The UST bag holders are... well... the bagholders. They have nearly nothing left now. Even those who sold UST at 80-cents or 60-cents last year or two years ago benefits by selling before everyone else did. > The people who actually benefited were those who earned the 18% interest from Anchor, which was funded by the suckers whose "investments" went to zero. The opposite. A bunch of people sold UST to a bunch of others for 82-cents, maybe 90-cents (since it took less than a year for a UST to disappear). Thanks for your dollars, here's a bunch of UST that soon became worthless.
chii 4y ago
> who earned the 18% interest from Anchor they might've benefited from the interest during the rise of Luna+UST, but they don't benefit from the crypto-run. They even have a chance at a loss due to not being able to sell early!

chii 4y ago

> That's the thing about bank-runs. The first person to sell benefits. no, those selling due to the bank run don't really benefit from the run (aka, they don't make profit). They just _don't lose as much_ as the last to sell. I'm talking about whether anyone made a profit from this run, like https://www.investopedia.com/ask/answers/08/george-soros-bank-of-england.asp https://www.investopedia.com/ask/answers/08/george-soros-ban... , in which he managed to short sell the pound and gathered enough capital (his and others') to sell the pound to cause it's value to drop (and force the central bank to sell foreign currency to buy the pound, in order to keep the pound peg).

dragontamer 4y ago
Anchor, who sold you those UST for 82-cents per 1 UST (aka: 18% APY), was "only going to win" when UST crashed below 82-cents.