..for the Lunatics: Course Corrections & more from cd.ambrose, Jan-21

We’ve made it through another Full Moon and with the Lunar New Year just around the corner, I think we are right to feel rejuvenated; I’m ready to accept many prosperous spring tidings. Yet also, patience remains a virtue.

..if we track back one year in Crypto time, the landscape has certainly changed in many ways; I would track the prices on all the charts but let me just cut to the chase; meme coins catalyzed some price action through social networks, but ultimately, the blockchains with the most user friendly applications made the largest gains.

DOGE coin was the early meme coin to shine, but SHIB and FLOKI also made waves during the summer. I was preoccupied with pending developments on TERRA and kept my investments locked up in LUNA continuously.

Tunnel Vision was a benefit in some ways this year, but opportunity was available in many arenas; substantial gains from blockchains like Avalanche and Solana deserve attention — they have strong networks supporting their applications.

Ethereum and Bitcoin had stellar years as well. But despite my bias towards LUNA as a self-proclaimed Lunatic, the TERRA blockchain really had the best year out of all. So let it be known, the fundamental thesis of TERRA
— a decentralized economy needs a decentralized money–

..so TERRA exists to create a decentralized stablecoin (UST) with a market capacity large enough for the entire world of Decentralized Finance.

I discussed some upcoming bullish catalysts during a recent broadcast on Clubhouse. You can find replay links stored in the Lunatics Clubhouse.

Luna Foundation Guard is a newly formed non-profit entity based in Singapore. The entity will have a focus on building reserves to better safeguard the peg of UST:USD
Read more about it on Yahoo Finance — LFG announcement

Nexus Protocol Updated their Forums to share their 2022 outlook. They are building DeFi toolkits with huge implications for maximizing yields across directionally hedged vaulted crypto strategies.
Do your own research — Nexus Forums / Vaults / DeFi tools

Anchor Loans + Kujira Liquidations
Bonded Collateral Debt Positions allow for aggressive trading strategies which push networks towards price discovery points. However, the incentives for holding those debt positions on Anchor have diminished significantly; the net cost to borrow UST against your LUNA collateral is about 4% at the time of this writing — watch your LTV..or better yet, clear any debts and get everything staked. Your LUNAs are serving you better if they are staked.

Non-FUD disclaimer: Anchor is still a thriving platform, this is just a consequence of hot market activity — no more free lunches, if you want to buy the dip with leverage, the best strategies are made possible through Kujira’s liquidation Queue. If you can buy the dip at a deep premium through liquidations via Kujira’s ORCA platform, then perhaps paying Anchor 4% for your credit line is justified..

Staking Pools, Stader/Lido
Speaking of Staking, LiquidStaking Pools from Stader Labs and Lido Finance provide a pathway for optimizing your LUNA holdings through auto-compounding of validator rewards.

Next time I’ll chat about Terra’s Exchanges and Marketplaces / LOOP + Astroport, and will also dive into some stories about NFT communities.

I also mentioned Pylon Gateway as an underrated platform for VC Utility

I am still optimistic about Valkyrie providing major use cases for Social Campaigns around product launches in the coming months and years.

Last but not least, I need to get a demo video put together about how to set up a terra wallet, with some information about seed phrase diligence. Stay tuned for that

Reminder: Lunatics Clubhouse Replays are available, please share them with your network!

One response to “..for the Lunatics: Course Corrections & more from cd.ambrose, Jan-21”

  1. […] In a previous post, I referenced the Net APR of -4.48% for borrowing UST against bonded assets on Anchor Protocol. As expected, this encouraged many bAsset holders to repay their borrows, but also, sharply cascading prices on bLUNA and bETH made the issue even more urgent for some over-leveraged accounts. […]


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