Call me a Bitcoin maximalist, but I view all these algorithmic stablecoins as just a new and more elaborate method for scamming investors and traders - we've seen quite enough rugpulls, hacks (that could be just inside jobs), premine dumps, pump and dump schemes. So the fact that some shitcoin project owns a lot of BTC to support the price of their token doesn't mean anything - in the long run they will have to liquidate more and more BTC to support the price. I don't see any reason why would the masses want to adopt this token, and that's the thing that most people ignore - it doesn't matter if a token has web3, NFT, smart contracts, zero fees and all the other stuff that is there to attract investors; without real users such product is doomed.
My comment aged well
This isn't the first time DeFi and algorithmic token resulted in a disaster, and not the last one.
I don't think Luna will make it to live again because it has gone as far below 0.04 as at this morning
It's below one cent, 0.008.
I find it funny how a lot of bagholders that are screaming now about how this has happened were the same people mocking Warren Buffett on Twitter for being an old fart and not understanding how revolutionary Defi is.
And average crypto enthusiast knows nothing about the technology and how it works, they invest purely on endorcements and popularity of hashtags. The altcoin and token market is just one big HYIP, people just refuse to realize it and still want to believe that it's a legitimate industry.