It's still unclear who initiated the original attack which set this whole thing off, but whoever did that likely took home billions exactly because they understood how this system works.
From the looks of it, there were at least two distinct events around 9am Pacific on Tuesday, and again on Wednesday, where someone very intentionally made massive moves to trigger cascading liquidations. The rest of the damage was caused by a significant loss of faith in the system, followed by a mad dash to the exits.
The people running Terraform were doing a lot better before shit hit the fan. Maybe Do Kwon was looking for an exit or something, but I doubt it was an inside job. Maybe I'm wrong about that. I basically started ignoring Terra/UST the moment I realized how they were trying to back their stable coin. There are enough good projects in the space, wasting energy ruminating about obviously dumb concepts is a liability.
From the looks of it, there were at least two distinct events around 9am Pacific on Tuesday, and again on Wednesday, where someone very intentionally made massive moves to trigger cascading liquidations. The rest of the damage was caused by a significant loss of faith in the system, followed by a mad dash to the exits.
The people running Terraform were doing a lot better before shit hit the fan. Maybe Do Kwon was looking for an exit or something, but I doubt it was an inside job. Maybe I'm wrong about that. I basically started ignoring Terra/UST the moment I realized how they were trying to back their stable coin. There are enough good projects in the space, wasting energy ruminating about obviously dumb concepts is a liability.