On Reddit, one person wrote that his friend and ex-manager of 15 years tried to commit suicide after moving basically all of his life savings to crypto in 2021.
“… Luna was a massive player in his portfolio,” this person wrote.
Many other posts just like this one began appearing on the social media platform after the two “stablecoins” lost almost all of their perceived value in less than a week.
The Sun reported that after Terra Luna, one of the top 10 most valuable cryptos in the world, lost 98 percent of its value overnight, an investor who put in more than $450,000 lost everything.
“Incredibly, the dramatic collapse occurred in the space of just 24 hours with its market cap spiraling from above $40 billion to just $500 million,” the news outlet reported.
This person, who also posted on Reddit, revealed that he “lost over $450,000” and “cannot pay the bank.”
“I will lose my home soon,” he wrote. “I’ll become homeless.”
Is anything on this Earth really stable?
These are just a few stories among many that appeared across social media as crypto investors woke up shocked to see blood-red portfolios.
Another person claimed to have lost $15,000 after failing to sell his holding last month when Terra Luna was trading above $100 per coin.
“I should’ve cashed out when it was $100, then I would have been up $25,000,” this individual explained.
“But I got greedy hoping to get more money so I can at least afford a down payment for a house for my family. I guess no house and savings then.”
Someone else who “lost around $5000” said this was “all my life savings” now down the drain.
This person says he purchased Terra Luna with “all I had” when it was priced at $85. Now it is basically worth $0.
The collapse occurred as Terra lost its peg to the U.S. dollar, which was supposed to remain stable (hence the name stablecoin). When this occurred, a massive selloff ensued, causing the coin to lose 99 percent of its value.
The crypto exchange Binance temporarily suspended withdrawals on the Terra (LUNA) network at one point during the collapse, and now the coins are essentially worthless.
“It meant that even those who wanted to sell were unable to cash in last minute as the price went into free fall,” the Sun explained.
Do Kwon, the founder of Terra and Terraform Labs, tweeted after the demolition that he and his team are “close to announcing a recovery plan for $UST.”
Other more popular coins such as Bitcoin and Ethereum also took a big tumble – basically all of the crypto world did – but are now slightly recovering.
All of this just goes to show that nothing is truly stable. Crypto is not stable, nor is fiat currency. Even hard assets have become volatile in relation to the shifting value of “money.”
It turns out that earthly possessions are fleeting, and these crypto collapses are just another example of that. This is why some have chosen to store up treasures in heaven rather than here on Earth.
“Imagine putting your life savings in a shaky market and banking on huge (unsustainable) returns,” wrote someone on Reddit in response to the suicide story.
“It’s like going to the roulette table with your life savings, except you statistically stand a better chance picking the exact right number there than you do the right coin or stock.”
More related news can be found at CurrencyReset.news.
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