Conversation

Do Kwon

@stablekwon

Aug 19, 2020

Alright, so we're bringing

@terra_money

stablecoins to Ethereum, and here's why 👇

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is the only real decentralized stablecoin on Ethereum (plenty of literature on why stablecoins are better decentralized), but it has severe issues scaling: its stablecoins are a byproduct of ETH leverage, not the end in and of itself:

cointelegraph.com

Network Effect at Risk? Why 50% of DAI Locked in Compound Is a Concern

New data shows more than 50% of DAI is locked in Compound and this raises concerns about DAI’s long term prospects

Do Kwon

@stablekwon

This leads to MP issues where money supply can't expand when the market needs it - (more people wanting DAI doesn't result in higher demand for ETH leverage), leading to perverse market situations where DAI trades at a premium to the $

8:20 AM · Aug 19, 2020Twitter Web App

Replying to

is the only live and tested stablecoin platform where the market expands money supply with higher demand and contracts in response to lower demand. Stablecoins with responsive monetary policies will be crucial in

dapps scaling.

Our goal is to bring Terra stablecoins to developers on every blockchain - working with

@renprotocol

on the ETH bridge (merged to staging) and excited to be with

@solana

@Polkadot

@cosmoshub

and other revolutionary blockchains on their journey.

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