Funny to see people say that: “hey, its your choice to use leverage, deal with it”.
The borrowing feature is a selling point for this project, it is supposed to add value to it. Take it away and it becomes much less attractive. Just the existence of the borrowing makes this thing more valuable to you even if you don’t use it. Good luck ever seeing ATH with this huge breach of trust!
Nobody forced anybody to leverage at all.
If you did not leverage you would not be liquidated.
a lot of “i’s” . We all care about ourselves. But we can also care about others. People couldnt even repay to de-risk bc the repayment tool was broken.
There would not be a 1 billion treasury if it were not for the borrowing feature.
There will be no treasury at all if they don’t honor their word that borrowing bellow backing was safe.
ITS yoUr fAUlt, SHoULD’ve boRRWOED ONLY 5% Max or Not aT aLl! UnlESs yOu Read aBsOlUtElLy All The DIsCORD MEsSAges You have No RigTS, DUH! Dyor!
If no one leveraged there would be no 1 billion treasury and no wonderland at all.
yeah and maybe if they can’t honnor their word it won’t matter anyway.
There’s no such thing as a free lunch.
That is incorrect.
Listen, I have been liquidated. Twice in my life. It sucks. Its hard.
No one bailed me out. I stopped investing for a few weeks and came back. You can’t blame others for your mistakes.
Liquidated is in no way similar to getting hacked! Sorry but I thought about leveraging many times but I didn’t because I didn’t want to risk liquidation.
How is it incorrect?
Leverage made the price go up, which made mint discounts more attractive, which increased treasury.
This was a special kind of leverage in the sense it had a BACKING.
OH, YOu DOnT undeRsTand BacKing! backinG DoESN’T meAN BACking, iT MeaNS noTHiNg aCctUALly
So much so that Abracadabra is branded as part of the ecosystem. I guess the reason is that is is used to steal funds from people who believe what the davs say. Idiots! Ha!
HELL NO! Those who responsibly levered and those who didn’t irresponsibly — leveraging is HIGH RISK! I wouldn’t come to You asking for a handout of your PROFITS if the INVERSE were true!
It is important to remember that this is a HIGH RISK and consequently HIGH REWARD investment EVEN when NOT leveraged. Please stop it. Blaming others for you lack of risk sensitivity is wrong. 1. You didn’t understand how risky investing into crypto is. 2 You didn’t understand how much riskier it is to invest with leveraged in a risky asset 3. You didn’t read the docs . I am not leveraged because I learned the above lessons by losing thousands in other crypto investments. Asking someone who played it safe to pay for someone who took a risk to gain more isn’t FAIR, isn’t RIGHT!
I am sorry for everyone’s lost but this is the price we pay for the risk we take. I am down $20k
I wish you the best. You seem to still be pretty mad. Rightfully so.
You are acting like a bit of a baby tho.
Here is from the docs…
Market Dynamics
The default state of the network is at intrinsic value. After some long period of inactivity, price will always return to this level.
Contractions are conceivably only triggered by short-term liquidity crises. Since TIME holders have a guarantee that price will come back above intrinsic value eventually, the only sellers below should be those who need a short term exit and are willing to take the extra loss.
Expansions can be triggered by an increase in staking or minting.
An increase in staking will generally be preceded by purchases from the market. That increases price, which allows the protocol to sell at a higher price and increases yield for stakers. That should serve to bring in more stakers and continue the cycle.
Meanwhile, the rising price increases the bond discount and creates capacity for new bonds. These are preceded by new liquidity, which improves the protocol’s ability to carry out sales and increases available exit liquidity.
This positive price-liquidity feedback loop should serve to create sustainable to expansionary periods. However, they work both ways. Falling demand decreases staking rewards and mint capacity, causing demand to fall further. This is an unavoidable fact of system’s like this; even the best (i.e. Bitcoin) are no stranger to significant declines after periods of expansion.
But we can work to mitigate busts. This is where the protocol’s reserves step in and to catch the market when velocity turns too far to the downside. It does so through forward guidance (the fact that the protocol will buy lowers risk the lower we go, which can mean we don’t have to buy) and by buying perpetually below intrinsic value. The treasury ensures that, although bear markets and contractions can and will occur, the protocol can never die
Yeah, the mature thing is to just turn a blind eye to the theft that just occured and blame the victims.
Has your complaining returned your money?
Not about the money. About truth, honnor and justice.
Your perspective sure. The lens used is one of not taking accountability for your own actions.
You don’t get a do-over after you lose a poker hand. Seriously think about what you are asking after the sting wears off.
The treasury grows via Minting and the swap fees from the pools like TIME-MIM and wMEMO-MIM not from the borrowings, those impact just the risk premium which is the spread between the market price of memo and the backing per memo.
Yeah, what a sucker I am for TRUSTING their word!
Should not have invested at all to begin with, that would be WAY safer.