Dogecoin Creator Says This Will Make You Lose Faith In 'Crypto Bros'

Billy Markus, co-creator of Dogecoin DOGE/USD, believes that the latest cryptocurrency catastrophe is reason enough to lose faith in “crypto bros.”

What Happened: On Monday, Markus shared a series of tweets by Aztec Network’s Jonathan Wu explaining the drama surrounding the Terra LUNA/USD ecosystem.

Wu noted that the stabilizing mechanism between Terra’s stablecoin TerraUSD UST/USD and LUNA had been displaced thanks to the “magical chaos of algorithmic stables” and some amount of Bitcoin BTC/USD systematic risk.

As the price of LUNA crashed to $28.03 earlier today, its market cap fell below UST’s $14 billion. According to Wu, the most concerning part about this is the average redemption price of LUNA for UST exceeding LUNA’s current price in the market.

Wu summarized the past few days' events by concluding that UST is “100 magic dollars backed by 20 bitcorns and 80 magic beans.”

Price Action: According to data from Benzinga Pro, LUNA was trading at $24.17, down 60% over 24 hours.