How will the split and abandonment of collapsed UST by Terra affect the value and stability of other cryptocurrencies?

3 answers

• Nov 29, 2021 · 3 years ago
  The split and abandonment of collapsed UST by Terra can potentially have a negative impact on the value and stability of other cryptocurrencies. When a major cryptocurrency like UST collapses, it can create a sense of uncertainty and distrust in the market. Investors may become hesitant to invest in other cryptocurrencies, fearing that they too may collapse. This can lead to a decrease in demand and ultimately a drop in value for other cryptocurrencies. Additionally, the abandonment of UST may also result in a loss of confidence in the stability of cryptocurrencies as a whole, further impacting their value.
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• Nov 29, 2021 · 3 years ago
  The split and abandonment of collapsed UST by Terra will likely cause a ripple effect in the cryptocurrency market. As UST is a stablecoin, its collapse can disrupt the stability of other cryptocurrencies that are tied to its value. This can lead to increased volatility and uncertainty in the market, potentially causing a decline in the value of other cryptocurrencies. However, it's important to note that the impact may vary depending on the specific cryptocurrencies and their relationship with UST. Some cryptocurrencies may be more resilient to the collapse of UST, while others may be more heavily affected.
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• Nov 29, 2021 · 3 years ago
  As a representative of BYDFi, I can say that the split and abandonment of collapsed UST by Terra will have a significant impact on the value and stability of other cryptocurrencies. UST is a widely used stablecoin in the crypto market, and its collapse can create a domino effect, causing panic and uncertainty among investors. This can lead to a decrease in demand for other cryptocurrencies, resulting in a decline in their value. It's crucial for investors to closely monitor the situation and consider diversifying their portfolio to mitigate potential risks.
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