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Crypto Weekly Crypto Weekly
CZ, Binance billionaire, Say's Crypto Needs to Get Real Shiba Inu and Dogecoin (the latter developed as a joke) rose in popularity during the two-year bull run in cryptocurrencies, largely thanks to coordinated buying via social media communities like the "SHIBArmy." The Crypto Market Crashes
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nvestors lost faith in Terra's ability to maintain its dollar peg, causing its value to fall. Some speculated the sustained pressure might have come from external attackers in the rival world of centralized finance.
currencies are backed by nothing but fan support, and none act as legal tender - apart from Bitcoin in El Salvador and an ever-
increasing number of nations because it has a use case. None of these so-called "Meme" coins do. Immediately following this week's meltdown in Terra and Luna, Binance's CZ urged his followers to take a more modest stance. "We must respect the market more than anything else and not be arrogant. Build step by step, day by day," he wrote.
Terra has no collateral backing its value like there is with Tether, but a formulaic process of mining and then destroying its very own coin supply does so in a one-to-one ratio to the dollar. Despite the stable exchange rate, it had advertised a 20% return every year using its Anchor protocol, which some have compared to a Ponzi scheme, while others have said it was merely a marketing tool to boost acceptance. Crypto fans often ridicule traditional market investors for being "normies" since digital
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May 2022 | Volume 27
