UST/Luna - Worthless now!

[bjcheung77]

Have you heard about UST/Luna? Well, now you have! Oh dear...
Luna went from $120 USD to $.01. It was a stablecoin peg to USD.
That's one reason I never touched "cryptocurrencies"...

Link: Cryptocurrency luna now almost worthless after UST falls below peg (cnbc.com)

[LevelUP]

The total value of all crypto was around 3 trillion in late 2021 according to Bloomberg. 

The total value of all the physical money which includes bank deposits is $40 trillion.

Lots of influencers get paid to promote the latest crypto pump and dump scam.

[Kal Di]

Have you heard about UST/Luna? Well, now you have! Oh dear...
Luna went from $120 USD to $.01. It was a stablecoin peg to USD.
That's one reason I never touched "cryptocurrencies"...

There are legit cryptos and scam cryptos. You should avoid using one bad example to write off the entire industry. What are your other reasons for not touching cryptocurrencies?

A common one that I hear is that most people do not understand or want to understand it. If that's your reason, then that's a personal and legit reason.

[collegecareerstudent]

I bought the dip. On Coinbase, last I checked, 97 percent of people were buying up Wrapped Luna.

[Johann]

I bought the dip. On Coinbase, last I checked,  97 percent of people were buying up Wrapped Luna.

Bitcoin has tanked sharply in the last couple of days. I like the Islamic approach to things financial - and studying it a bit, and applying it in my own life has helped me a lot. I'm not a Muslim - I'm an atheist, in fact. But I had to understand Islam a bit - not necessarily believe in it - to see how the Islamic monetary system is designed to work. 

A couple of quotes here from Google. One about crypto - and one about -- alternatives you might want to consider. Or not. Your choice. And a third bit by me about the same subject.

(1) “Cryptocurrencies as commodities or digital assets are unlawful for trading because they have elements of uncertainty, wagering and harm,” Asrorun Niam Sholeh, head of religious decrees for the Indonesian council of Islamic scholars, told reporters in November after issuing a fatwa against using crypto

(2)  "Abu Bakr ibn Abi Maryam reported that he heard the Messenger of Allah say: “A time is certainly coming over mankind in which there will be nothing (left) that will be of use (or benefit) save a Dinar (i.e., a gold coin) and a Dirham (i.e., a silver coin).” *

(3) There are quite a few references in Islamic writing to the belief that gold and silver are the best forms of money because they are created by Allah - the Creator of Wealth. 

* Note. Neither Abu Bakr nor the Divine Messenger mentioned exactly WHEN this event would occur. 

[Johann]

Just looked it up. As of today, Bitcoin has declined just over 50% in the past 6 months. How long can it tread water? Buy on the dip? What happens if the dip keeps ratcheting on down to zero? As I said - I'm an atheist. I'm fresh out of faith in crypto, here.

[LevelUP]

There are 2 problems with "investing" in Crypto.

1. Crypto relies on the greater fool theory.
2. Crypto is a non-productive asset, so you get nothing while holding onto it.

[Kal Di]

There are 2 problems with "investing" in Crypto.

1. Crypto relies on the greater fool theory.
2. Crypto is a non-productive asset, so you get nothing while holding onto it.

I disagree with your second problem. Crypto is a productive asset because you earn more of that crypto through staking. For example, I stake X amount of Cardano coins and will get 5% more of those coins at the end of the year. It is like an interest bearing account.