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Yeah, don’t short USDD (at least not yet). If Justin using His Excellencies personal wealth to bail out His Excellencies stablecoin sideproject, wait at least u

Yeah, don’t short USDD (at least not yet). If Justin using His Excellencies personal wealth to bail out His Excellencies stablecoin sideproject, wait at least until the market cap goes beyond what he can bail out. It’s currently 3x over collateralized, you will lose.

arcticbull 4y ago
Sort of, I believe they count anything they put in their burn address towards the 'overcollateralization' - but my point is also that redemptions are turned off. No matter how much collateral they have there's no mechanism to turn 1USDD into 1USD worth of any collateral at all. Conducting open market operations (buying up USDD in the market) is significantly cheaper than redeeming them. Last I checked it would cost about $30M to restore the peg in open market operations.
- randomhodler84 4y ago
  Yeah, you are correct. The downward spiral mechanism is allowlisted, and the players won’t bring this event. I have no love for HE, but indeed it is a pretty clever play to monetize HE’s illiquid shitcoins. Ive always deeply distrusted HE but I may have underestimated him.
tablespoon 4y ago
> If Justin using His Excellencies personal wealth to bail out His Excellencies stablecoin sideproject What's with this "His Excellencies" stuff? Is it an obnoxious nickname, or is this backed by some monarch or gulf sovereign wealth fund or something?
- randomhodler84 4y ago
  His full diplomatic title is His Excellency Justin Yuchen Sun, Ambassador and Permanent Representative to the World Trade Organization in Grenada. It is correct to address him as His Excellency or HE. He also has diplomatic immunity.
  - arcticbull 4y ago
    > He also has diplomatic immunity. ... in Switzerland only, in his role as the Permanent Representative of Grenada to the WTO. He actually doesn't have diplomatic immunity in Grenada, and Grenada maintains an extradition treaty with the United States. [1] [1] https://protos.com/sun-grenada-his-excellency-justin-crypto-tron-diplomatic-immunity-switzerland/ https://protos.com/sun-grenada-his-excellency-justin-crypto-...
    - randomhodler84 4y ago
      Ha! Ok! I guess that is slightly less useful.

arcticbull 4y ago

Sort of, I believe they count anything they put in their burn address towards the 'overcollateralization' - but my point is also that redemptions are turned off. No matter how much collateral they have there's no mechanism to turn 1USDD into 1USD worth of any collateral at all. Conducting open market operations (buying up USDD in the market) is significantly cheaper than redeeming them. Last I checked it would cost about $30M to restore the peg in open market operations.

randomhodler84 4y ago
Yeah, you are correct. The downward spiral mechanism is allowlisted, and the players won’t bring this event. I have no love for HE, but indeed it is a pretty clever play to monetize HE’s illiquid shitcoins. Ive always deeply distrusted HE but I may have underestimated him.

tablespoon 4y ago

> If Justin using His Excellencies personal wealth to bail out His Excellencies stablecoin sideproject What's with this "His Excellencies" stuff? Is it an obnoxious nickname, or is this backed by some monarch or gulf sovereign wealth fund or something?

randomhodler84 4y ago
His full diplomatic title is His Excellency Justin Yuchen Sun, Ambassador and Permanent Representative to the World Trade Organization in Grenada. It is correct to address him as His Excellency or HE. He also has diplomatic immunity.
- arcticbull 4y ago
  > He also has diplomatic immunity. ... in Switzerland only, in his role as the Permanent Representative of Grenada to the WTO. He actually doesn't have diplomatic immunity in Grenada, and Grenada maintains an extradition treaty with the United States. [1] [1] https://protos.com/sun-grenada-his-excellency-justin-crypto-tron-diplomatic-immunity-switzerland/ https://protos.com/sun-grenada-his-excellency-justin-crypto-...
  - randomhodler84 4y ago
    Ha! Ok! I guess that is slightly less useful.