🥳We will be tracking 's ecosystem of #DeFi #Dapps powered by the Terra stablecoins and $Luna.
Terra, a backed project and CHAI, its payment dapp with over 1M onchain users🤩, are leading the way of #blockchain adoption.
dapp.com/article/dapp-c
Conversation
Caution: is acquiring users by offering discounts, not financed by merchants or by burning through investor funds. Instead they use pay-ins from new users.
Certainly looks like a Ponzi Scheme...
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That’s pretty much how every payment co’s acquire users in the beginning. Not Ponzi.
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"A Ponzi scheme is a form of fraud that lures investors and pays profits to earlier investors with funds from more recent investors. The scheme leads victims to believe that profits are coming from product sales or other means, and they remain unaware that ..."
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To claim that Terra the asset is a ponzi scheme according to your definition, there would need to be:
1. Earlier holders of Terra that is "paid a profit"
2. Later holders of Terra that makes a loss while in expectation of profit.
Neither is true.
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19m00s "[...] instead of topping up 38 dollars, it will top up 100 dollars. In some sense, in the user wallet there is always a residual balance left. In the Terra system we call this seignorage."
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19m50s "[...] in the perspective of the Terra economy, it gives us working capital to be able to finance some promotions and discounts in order to further facilitate adoption."
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Sorry, it still sounds like a Ponzi:
1. Early holders of Terra are paid a profit (an immediate discount of 10%) which is financed by later users.
2. Later holders will make a loss when they can't sell their tokens for real money, after the scheme collapses.
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Yeah, i dont think you’ve ever used chai before. No 10% immediate discount is issued.