31 Comments

Great article as always man!

"Iguana uses the 100 UST to mint $100 worth of LUNA by burning 1 UST"

Believe this part should be burning 100 UST instead of 1 UST. Thanks!

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Nice intro article.

Balaji has articulated an interesting related concept — "flatcoins". These wouldn't be pegged to a fiat currency, which is an inflationary asset. Flatcoins instead could track real purchasing power in a "flat" manner, as measured against weighted, dynamically calculated baskets of consumer goods prices. Broader application outside DeFi but thought-provoking in any case.

There was an open call for a development grant, not sure on status — https://1729.com/inflation

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Think there's a typo in this sentence — "While USDT is only 1.9x bigger than USDC in terms of market cap, 24h volume for USDT is $59 billion compared to $3.4 billion for USDT."

It should read, "...compared to $3.4 billion for USDC."

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Great poast as always.

It will be interesting to see how MIM and UST handle a bear market. IIRC UST broke its peg back in May to sub .95. Not sure how far MIM has been knocked off kilter so far.

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Great Article.

Now can you do a paid version highlighting:

1) Do you farm stables?

2) If so, what % of portfolio?

3) Is this a permanent allocation of your portfolio or do you do this based on market conditions?

4) What are the best farming options for a given amount of $. I.e. best farming for 4 digits, 5 digits, 6 digits, 7 digits.

Thank you!

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This moment in the market seems like an ideal time to buy big stacks of the majors, BTFD as they say, do you guys share this view? Also wtf is going on with Ohm? Can the devs do something about the price?

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I recently started using the Terra ecosystem and it seems very promising. The yield farming opportunities are numerous and I'm still trying to wrap my head around all the possibilities. The 19.5% stable interest on Anchor protocol is incredible relative to the risk. Then you can take your aUST and use it as collateral to borrow more UST or other assets. All while continuing to earn interest on the initial deposit of UST in Anchor. That's just the tip of the iceberg.

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I’ve turned this invaluable information into a Jeopardy Q&A.

Contestant: "I'll take early 21st Century Central Bank Delusions Exposed by Crypto for $1,000, Alex"

Answer: Nothing other than any chance of Mastodon’s kids living in non-Zimbabwe fiat environment.

Question: What does US Treasury burn to maintain its peg after printing trillions US Trash tokens to satisfy disgustingly profligate demands of special interests and craven boomer voting block?

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I've struggled with stablecoins (but of course, I use them). So many have failed.

How do you guys feel about AMPL long-term?

Interesting approach with supply. Not really a stablecoin, so maybe off-topic, but intriguing use cases.

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Nice article. Clarified a few things for me. I know BTB has said a few times that to get out of stables and into btc/eth. Do you agree with BTB's skepticism?

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Based on the last section I assume you aren’t fans of Beanstalk?

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0xMerlin from Abracadabra recently did a big buyback of SPELL with MIM

https://twitter.com/0xM3rlin/status/1469366036801769474

From the address, it looks like 100 million worth of MIM was printed out of thin air without any collateral backing.

https://etherscan.io/token/0x99d8a9c45b2eca8864373a26d1459e3dff1e17f3?a=0xfddfE525054efaAD204600d00CA86ADb1Cc2ea8a

No collateral deposited:

https://zapper.fi/account/0xfddfe525054efaad204600d00ca86adb1cc2ea8a

Would it be possible for BowTiedIguana to look into this. Is this a smart contract exploit by the team?

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