Good-Guy
VIP Contributor
The fall of Terra coins such as Terra (Luna) and Terra(USD) has been one of the greatest shock many cryptocurrency investors have experienced. This downfall of the Terra network is quite horrible and I think that many cryptocurrency enthusiasts will never forget what just happened. Many investors lost billions of dollars after investing in the Terra coins. The Terra Luna coin fell from $67 to $0 within a few days. On the other hand, the Terra USD also fell from $1 to $0. There are so many people who are making different claims about why this happened.
One commentator stated that this happened due to the fact that the Terra coin creators basically created more tokens than that were required on the network and this led to gradual decrease in the price of the coins because the circulating supply of the coin became too high and this had an effect ion the overall market capitalisation that led to fall of the coins. Moreover, some people are even theorising that the blockchain of the Terra network ceased to work in a proper manner and this is why the coins fell in value. So, can someone explain why and how did all this began in the first place?
One commentator stated that this happened due to the fact that the Terra coin creators basically created more tokens than that were required on the network and this led to gradual decrease in the price of the coins because the circulating supply of the coin became too high and this had an effect ion the overall market capitalisation that led to fall of the coins. Moreover, some people are even theorising that the blockchain of the Terra network ceased to work in a proper manner and this is why the coins fell in value. So, can someone explain why and how did all this began in the first place?