Vitalin Buterin Calls for Relief for UST’s ‘Average Small Holders’
Vitalik Calls for Prioritizing UST's Small Hodlers
With LUNA and UST investors reeling from substantial losses, the community is now looking at ways to reestablish the ecosystem and potentially offer relief to the many people who gave their everything into the project.
One such community proposal includes first reimbursing all of the initial deposits (not yield) of small UST holders. According to the Twitter user, by prioritizing the bottom 99.6%, Terra could afford to return every dollar that was invested by the poorest 99.6%.
He argues that his explanation is viable as the 'VERY' vast majority of UST is held by regular people in smaller wallets.
Buterin retweeted the Twitter user, saying:
“Coordinated sympathy and relief for the average UST smallholder who got told something dumb about ‘20% interest rates on the US dollar’ by an influencer, personal responsibility and [sorry for your loss] SFYL for the wealthy.”
FDIC Could Also be Useful, says Buterin
Buterin also suggested that the FDIC insurance could be useful in these circumstances. The Federal Deposit Insurance Corporation or FDIC is a federal agency that represents the first time government-backed bank deposits in US history.
“An interesting unrelated one is Singapore employment law. Stronger regulation for low-earning employees, and a more figure-it-out-yourself approach for the wealthier. IMO things like this are good hybrid formulas” he said.