The failure isn’t a surprise, but the speed of the failure is Iron Finance’s partially backed stablecoin IRON has failed. It shouldn’t be a big surprise that IRON was unable to hold its peg with the dollar. In fact I have an article I was working on that detailed what IRON is and the potential risks associated with it. In that draft, from June 6th, I was using the concept of UST and LUNA as an illustrative example of IRON and TITAN:
If I get you right, you propose the developers should have halted "the functionality of the redemption window" to try and avoid panic and somehow control the run. The point is, in my view, how does it match with the principles of (i) code is law and (ii) decentralization vs commercial bank practises...
The pause functionality could have been easily achieved when they minted 1 billion TITAN, which was supposed to be the max cap. Then no more IRON would have been redeemed and perhaps new arbitrage opportunities would have offered to mint IRON with cheaper TITAN leading to TITAN being burnt and reducing the total supply of TITAN again. Now TITAN is a meme coin. So join us on TITAN is our DOGE community, where the community will make TITAN great again: https://t.me/titanisourdoge
Presstab, can you contact me please, i have more information on moneyflows, i have been doing research trying to expose these guys i would like your opionion. Discord Iggy#5983
If I get you right, you propose the developers should have halted "the functionality of the redemption window" to try and avoid panic and somehow control the run. The point is, in my view, how does it match with the principles of (i) code is law and (ii) decentralization vs commercial bank practises...
The pause functionality could have been easily achieved when they minted 1 billion TITAN, which was supposed to be the max cap. Then no more IRON would have been redeemed and perhaps new arbitrage opportunities would have offered to mint IRON with cheaper TITAN leading to TITAN being burnt and reducing the total supply of TITAN again. Now TITAN is a meme coin. So join us on TITAN is our DOGE community, where the community will make TITAN great again: https://t.me/titanisourdoge
Presstab, can you contact me please, i have more information on moneyflows, i have been doing research trying to expose these guys i would like your opionion. Discord Iggy#5983
To what degree can you see an event like this occurring in the Terra ecosystem?