Vitalik Buterin Believes Situations Like Terra Crash Have ‘Silver Linings’
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Vitalik Remains Optimistic Amid Market Downturn
Appearing in an interview with Fortune, Vitalik Buterin shared his musings regarding the crypto market and how the current market conditions are affecting both the present and the future of the space.
He started his interview by saying that the industry had its ups and downs before and will continue to do so in the coming future. While acknowledging the fact that the “down periods’ are challenging, he reiterates that it is also during those times that the most meaningful projects get built.
The 28-year-old goes further to say that situations like the Terra crash which occurred in early June have "silver linings." According to him, such cases are a 'morally classifying moment' where one can get a better view of a character - much better than when everyone is in their good times.
“At least in my experience, [what] always happens is this morally clarifying moment where you can see how different people responded and you get a much better view of what their character is and what kind of people they actually are than you do during the good times.”
Terra's Epic Demise
A few weeks ago, Terra’s stablecoin, UST, de-pegged from the 1:1 ratio with the USD with the platform’s native cryptocurrency LUNA along with the stablecoin dropping to historical lows. This was a disaster that created a ripple effect across the entire crypto market with a bearish outlook.
Since then, Terra blockchain has officially halted, and UST remained de-pegged from the USD. Meanwhile, the original LUNA has been rebranded to Terra Classic, which is almost down by 100% from its all-time high of $119.