Crypto Margin Call
When I saw LUNA & ANCHOR both down 50% first thing this morning, I knew the shit hit the fan somewhere. LUNA is one of the very few crypto assets that has gone up over the prior 3 months, doubling in that time while Bitcoin was cut in half.
Interesting story and details why I don’t trust most stable coins or the “currency” part of crypto. I’m not going to pretend I understand how LUNA’s algorithmic stable coin works, but I have read articles from programmers on the project who tried to break it down for layman. It sounded like an interesting idea, one they thought couldn’t fail. Clearly that’s not the case. And while I’m a content holder of $LUNA.X, as with the rest of my crypto, it is a VERY small slice of my pie. As much as I believe in the future of the technology, I’m a realist and an investor, not a speculator, so I keep crypto to a manageable % of my portfolio that I could handle going to zero.
Just a reminder to any newer investor’s. Regardless of personal conviction, be wise with risk allocation. I may believe in crypto and Coinbase, but I also understand the risk involved and allocate accordingly.