Welcome to Week in Crypto Drama! This week we learned that strip clubs have now confirmed we’re in a recession, you can make more money by walking than trading, and Terra was basically risk free.

As expected, most of the week was yet again for the Total Eclipse of the Luna. For some, it was an incredibly humbling week. For others it was time to admit that number on screen goes way when computer shuts down.

Stablegains, having just raised $3M from top investors, is shutting down. One picture is worth more than 1000 words.

Notstablekwon published a plan for Terra. VC excited, CT concerned. TLDR:

“must make it all back”
— @koreanjewcrypto

Clearly, civil and criminal lawsuits gotta be expensive. Better call Saul, your legal team quit.

And yet, stable-coins are not going away.

justin sun wakes up, glances at wsj front page, reads “do kwon summoned to testify in congress over $50 billion dollar blowout”, gets out of bed and simply continues to shill his terra clone
— @udiWertheimer

Haven, a Monero fork, assured us they’re still building one. Their innovation you ask?

Pegging is achieved via a ‘mint and burn’ process within a single blockchain

We’re living in the same universe, right?

Cosmos is anticipating their own Inter Stable Token ($IST). While it takes more sensible over-collateralised approach, it’s built on a chain that want’s us to write smart contracts in JavaScript. Building the critical infrastructure of the future internet in JavaScript by a bunch of web devs. What can possibly go wrong?

Degens are worried about USDT, but it looks like they can hold the peg, for now.

But fear is real, and stETH lost its peg. Now you can go buy it at discount. Or don’t, because after farmer liquidations you can have it for half the price. Not investment advice.

Some shadowy, faceless group of super-coders are writing sophisticated sandwich bots. $5M worth of ETH is enough collateral to flash-loan you up to execute $145M trades on Curve and push the prices enough that some poor bloke lost ~$110k on a stables swap, while 🤖 made ~78k profit. I’m writing the wrong kind of code…

Some other coders didn’t finish their Date an Ape app. No-one could have predicted the problem they faced.

For additional reading material check out:

• Reminiscences & Lessons from a LUNA critic
• Consequences outside Terra after the collapse
• Why you should sell your BTC for ETH
• a16z State of Crypto report

Enjoy the weekend!