> But who the hell wants Luna?
In theory, people would want Luna to get the 20% returns through Anchor.
Of course, that assumes the 20% returns would continue forever (which a bunch of crypto people foolishly believed) ...
In theory, people would want Luna to get the 20% returns through Anchor.
Of course, that assumes the 20% returns would continue forever (which a bunch of crypto people foolishly believed) ...
TerraUSD yielded 20% returns on anchor
Luna gave staking yield. It received a portion of transaction fees off the Terra network, that was what created demand for Luna - if you thought transactions on Terra were going to increase and therefore give increase yield in the future
Of course there simply wasn't enough demand to offset the terrible peg mechanism
That TerraUSD all came from people buying Luna and converting it to TerraUSD.
The root of demand for the Luna ecosystem was the 20% returns.
The people don’t believe we can all be trillionaires, they just believe everyone who believed and HODLled their savings into XYZ is going to be one.