$1 Trillion Crypto Meltdown--Huge Crash Wipes Out The Price Of Bitcoin, Ethereum, BNB, XRP, Cardano

[speak easy]

Source: Forbes

Bitcoin and cryptocurrencies have crashed further overnight, dropping to levels not seen since the crypto market began surging in late 2020 and wiping away almost $1 trillion worth of value in a month as a serious "ripple" warning comes into effect.

The bitcoin price has dropped to around $27,000 per bitcoin, down 12% on the last 24 hours, and dragging down the wider crypto market with other top ten coins ethereum, BNB BNB -9.6%, XRP XRP -19%, solana, cardano, and avalanche recording even steeper loses. Ethereum has crashed 22% since this time yesterday, with BNB, XRP, solana, cardano and avalanche all lossing between 25% and 33%.

The sell-off comes after the $18 billion algorithmic stablecoin terraUSD (UST) lost its peg to the U.S. dollar, wiping out the price of its support coin luna which has now lost almost 99% of its value—and risks dragging the bitcoin and crypto market even lower.

Read more: https://www.forbes.com/sites/billybambrough/2022/05/12/1-trillion-crypto-meltdown-huge-crash-wipes-out-the-price-of-bitcoin-ethereum-bnb-xrp-cardano-solana-terras-luna-and-avalanche/

---

Bitcoin has recovered to $28K+ but remains below its historical support at $30K. https://www.google.com/finance/quote/BTC-USD

[greenjar_01]

1. ROFL

"the $18 billion algorithmic stablecoin terraUSD (UST) lost its peg to the U.S. dollar"

Honestly, people fell for this bullshit?



His wastrel cousin lost his fortune. No, dear reader, it was not at the cards table, but through the algorithmic stablecoin terraUSD, and its algorithmic connection to Luna.

This is absolutely the dumbest Victorian novel ever written!

[OldBaldy1701E]

4. HA HA!

[sybylla]

46. +1 n/t

[Magoo48]

50. I'd love to see it meltdown and disappear. It's a disaster for our environment.

https://www.sciencedirect.com/science/article/abs/pii/S2214629621004813

[eppur_se_muova]

60. THIS !!!

Megawatts consumed for nothing. The more energy you burn, the greater the value of the currency ?? Sheer insanity.

[speak easy]

7. ...

[Stuckinthebush]

21. Tulip bulbs are worthless???

Who would have ever seen that coming?

[speak easy]

22. There is actually a joke crypto called TulipCoin

Price $0.00

[Stuckinthebush]

23. Love it!

Brilliant!

[IronLionZion]

32. So it's free!

[speak easy]

33. Whales are welcome!

[Shipwack]

47. "I wonder if it will be my friend?" nt

[jimfields33]

14. The stock market is down. Not 27 percent but 15 percent or so

[ProfessorGAC]

49. The Value Drops In The OP Snip...

...refer to losses in 24 hours.
Your comparison doesn't seem apt.
The Dow is down 14.17% since January 4. That was 98 days ago.

[jimfields33]

51. You make a good point for sure

[bucolic_frolic]

2. QE Elevator an open mine shaft

Who knew? NFT's next?

[greenjar_01]

3. The clown show of the NFTs is really gone full circus now

They're panicking in the sub-reddits, I tell you!

[FalloutShelter]

11. NFT's are already beginning to flat line.

As a fine artist, I am cheering for a quick demise.

[CrispyQ]

5. A friend has 3 bitcoin she bought for an average of $1800 a piece.

She never pays attention to the price. I told her a few months ago that Bitcoin was at 69K & she said she never plans on selling it. Seriously??? She could have cleared over $200,000. Oh well.

[oldsoftie]

39. She's read that in a few years it'll be 100,000.

We have some big crypto backers here

[CrispyQ]

42. When I was young I would have hung onto a $4800 investment that was still at trading at $30k, too.

But today? Man, could I use a couple hundred K! She's about 20 years younger than me so I get it.

on edit: fixed my math error.

[PatrickforB]

6. LOL, yep. NEVER invest in something you do not understand.

I sure don't 'get' bitcoin. If you read up on it, you might get through about a page, then have an out-of-body experience.

Fiat currency at a whole new level.

[disndat]

67. some wise wall streeter

said early on the bitcoin is a Ponzi Scheme. He's proved to be exactly right.

[hatrack]

8. Wow, who could POSSIBLY have forseen this?

[Mr. Evil]

12. The people who got in early and...

cashed out early. Now, where have we seen this process before? Hmmm...

[GB_RN]

9. This Crap Was Always A Scam...

Literally anyone can create a cryptocurrency.

Criminals love them because cryptocurrencies are untraceable.

They aren’t backed by anything, unlike sovereign currencies. Makes it very easy to lose your ass.



Investment firms have gotten in on this hype and started selling investments in crypto. When your job is to give people SOUND and SOLID advice and investments, this is a spectacularly bad move, IMO. No ethical financial advisor should be pushing these things. This will be a case study in business schools one day.

[Oneironaut]

70. I mean, money itself is kind of a delusion.

I’m not really pro-cryptocurrency, but, anything can be a currency if people believe it has value and are willing to exchange it for capital.

The dollar bill is essentially just an IOU for gold that doesn’t exist.

[hunter]

73. That's not true. And basing money on some gold standard is just as stupid as bitcoin.

Cryptocurrencies and gold hoarding are both environmentally destructive behaviors, and neither can support a stable economic system.

The U.S.A. rightfully abandoned any vestiges of a gold based monetary system in 1971, although this wasn't made official until 1976. The destructive gold standard was first killed by FDR in 1932. In 1944 FDR-hating conservatives reclaimed its maggot ridden corpse until Nixon reburied it. (Nixon did many things our twenty first century "conservatives" can't understand -- stupid fascists, grifters, and meat puppets all of them.)

Be that as it may, modern twenty-first century "hard" currencies like the dollar are based on the ability of a government to collect taxes, enforce contracts, and regulate markets.

"Softer" currencies are issued by governments that have less competence to do this because of corruption and/or impractical ideologies and economic theories.

Even the old school Chinese Communists seem to understand this and listen to their technocrats, which is how China became a superpower as kleptocratic Russia falls apart.

Here in the U.S.A. our increasing inability to tax and regulate giant corporations and billionaires may lead to our own demise as a superpower.

[Uncle Joe]

10. It's just another vehicle to transfer wealth to the oligarchs of the world.

Thanks for the thread speak easy.

[oldsoftie]

40. How exactly does it do that at all?

Not that I'm a supporter, but its not a product. No "oligarch" owns it & is selling it to us peasants.
We ALL could have bought it for $30 bucks. I actually had a friend at that price who told me to "just put 1000 in it; I really believe its going places'. I bought NONE of course!

[HUAJIAO]

13. I never could figure out what cryptocurrency even is.

[DinahMoeHum]

15. "Rat poison squared". . ."Trading in turds"

are what Warren Buffett and Charlie Munger have said over the years about this electronic tulip mania.

Google the names and phrases for further insight.

[keithbvadu2]

38. Bitcoin is stupid 'cause it's very likely to go to zero,' says Charlie Munger

https://www.google.com/search?q=munger&sitesearch=democraticunderground.com

Bitcoin is stupid 'cause it's very likely to go to zero,' says Charlie Munger

[oldsoftie]

41. Then Buffett put 1 Billion into a crypto bank.

[orwell]

16. But...but...but...

...it's the NEW MONEY! It's based on ALGORYTHMS! It's LIBERTARIAN!

It's THE PEOPLE'S MONEY! I've been GETTING RICH ON NOTHING!

It's not controlled by an evil CENTRL BANK!

It has AN APP!

We sponsor BASKETBALL COURTS!

We have COMMERCIALS ON TV!

What could go wrong...

[NCjack]

17. "A fool and his money were lucky

to get together in the first place." (Harry Anderson, played Judge Harry Stone on “Night Court”)

[CrispyQ]

43. I am literally LOLing at that!

I never saw that show. Is it worth looking for it?

[Shipwack]

53. Yes it is! It's not "Citizen Kane"", but it was a fun long running sitcom.

They are even going to have a sequa; not sure how I feel about that…

[Tomconroy]

18. I vaguely remember from Econ 101 that a currency must be

1. A store of value
2. A means of exchange

How's that working out for bitcoin?

[Xipe Totec]

19. This is a great time to invest in tulips! nt

[3Hotdogs]

57. Nah, I got a better deal for yiz... land in Florida!

Right now, the ground is a little wet but if you buy a few acres before the swam… sorry before the shopping center gets built…you’ll be in on the ground floor.

[louis-t]

68. You won't be on the ground floor for long...

You'll be in a swimming pool in the basement soon. I have a client who is an environmental engineer, a hedge fund manager, and owner of 42 rental houses. I set him up with an agent in South Beach, FL because he wanted to buy investment property there. He took a trip to look at property. When he came back, he laughed and said "That city will be under water in 10 years."

[TygrBright]

20. Tsk-tsk. n/t

[Samrob]

25. Good! nt

[patphil]

26. Wow! Never saw that coming. Of course we did!

At least traditional currency has the government and banking systems behind it.
Cryptocurrency is supported by digital air; that is to say by "1's and 0's", with an emphasis on the "0's".
It's value is too volatile to be relied on. It's essentially a ponzi scheme.

[mahatmakanejeeves]

27. If you invested $100 in Luna one month ago, the fourth most popular cryptocurrency at the time, ...

If you invested $100 in Luna one month ago, the fourth most popular cryptocurrency at the time, you now have $0.04.

Link to tweet

[speak easy]

28. A Luna-tick :)

[in2herbs]

29. A couple of months ago the town of Mesa AZ announced that they would accept payments

for contracts, etc., in bitcoin and cryptocurrencies. Of course, they would, because when it dropped in value (like it has) they would have a reason to increase the taxes on people and residences.

[William Seger]

30. Funny thing in the middle of the article

Subscribe now to Forbes' CryptoAsset & Blockchain Advisor and successfully navigate the volatile bitcoin and crypto market

I wonder how many of their subscribers "successfully navigated" this crash.

[turbinetree]

31. So what is Musk going to use to buy twitter....after all he was going to use some bit coins....

they really need to call them bite coins

[IronLionZion]

34. Thankfully crypto is unlikely to take down the global economy

since it isn't embedded in everything the way home mortgages were before the last recession.

A young dude left my company to pursue a career in crypto a few years back. I wonder how that's working out. Many of us warned him it would ruin his career.

[Lucky Luciano]

44. Some of the crypto's with pegs bought a lot of corporate bonds to back their coin.

They may have to liquidate if necessary to generate cash.

Not trillions worth though.

[louis-t]

35. Anyone that gets involved with 'crypto', non-existent,

viable only in someone's mind, value-less currency is out of their minds. Or, as my brother said during the dot-com scam, "they're selling air".

[Unwind Your Mind]

56. I was in my last year of college then

Taking an Investment course where we were learning new ways to evaluate companies that had never turned a profit but had big market caps. We all knew then we were wasting our time.

[BumRushDaShow]

71. ...

[keithbvadu2]

36. "lost its peg to the U.S. dollar," - not such an independent 'currency' after all, eh?

"lost its peg to the U.S. dollar," -

not such an independent 'currency' after all, eh?

[Akoto]

37. Playing with fire. It's Monopoly money, of no legal worth. n/t

[dalton99a]

45. Coinbase experiencing major outage as crypto prices plummet

https://www.theverge.com/2022/5/12/23068996/coinbase-outage-withdrawal-cryptocurrency-bitcoin-price-crash

Coinbase experiencing major outage as crypto prices plummet
‘Your funds are safe, and we are actively working on the issue,’ the company said
By Russell Brandom
May 12, 2022, 2:18pm EDT

In communities on Reddit, users have reported rolling delays in withdrawals, leaving thousands of dollars hanging in the balance. More recently, another user reported that they were unable to access the app or website at all.

“Has the bear market crashed their servers?” the post reads. “Pretty frightening if someone wants to make a fast trade.”

The downtime comes amid a widespread crash in cryptocurrency prices, adding particular urgency to trades and withdrawals. Bitcoin has fallen to under $30,000, losing more than 25 percent of its value over the course of a month. As in any financial crash, the price drop has pushed many coin-holders to sell their assets and tested the underlying financial infrastructure of many institutions.

As a leading cryptocurrency exchange and wallet service, Coinbase has been hit particularly hard by the crash. The company reported a steep drop in revenue earlier this week, and its stock has shed more than half its value over the course of a week. Users were particularly shaken by a financial filing that suggested Coinbase account holders might be viewed as unsecured creditors in bankruptcy proceedings, seeming to suggest that they might lose money from their accounts if the company becomes insolvent. Coinbase CEO Brian Armstrong contested the claims, saying user funds were not in danger.

[canetoad]

48. I hope Melania is OK

And has a few NFTs tucked into her undies.

[BumRushDaShow]

52. I remember reading articles some time ago

about the hassles if you lose your "private key", and they are STILL writing articles!

This man owns $321M in bitcoin — but he can't access it because he lost his password

Stefan Thomas has 2 guesses left before he's locked out of his fortune forever


CBC Radio · Posted: Jan 15, 2021 6:02 PM ET | Last Updated: January 15, 2021



Stefan Thomas is a bitcoin millionaire. Or, he would be if only he could remember his password. The San Francisco software developer and CEO was an early adopter of bitcoin. Back in 2011, he produced an animated video explaining how the digital currency works. For his efforts, a bitcoin enthusiast awarded him 7,002 bitcoins.

Later that year, he lost the password to his IronKey, the USB hard drive that contains the digital wallet that holds his bitcoins. Since then, the currency's value has skyrocketed, and Thomas' holdings are worth $220 million US ($321 million Cdn.) The IronKey gives users 10 password guesses before it encrypts its contents permanently, and Thomas' bitcoin is lost forever. He has two guesses left.

(snip)

OK, so what's the last glimmer of hope?

The famous USB stick with the 10 tries. There is a way to take a scanning electron microscope and take apart the physical chip and literally go into the the silicon chip and take away layer by layer, like a few atoms thick, and then read out the actual memory cells. And then with that technique, you should be able to bypass that limit of 10 tries, and then you can have a supercomputer try, you know, billions of passwords per second.

Now, the problem is that, first of all, that requires a specialized laboratory. It's very expensive. Only a few people in the world can do it. And even then, it's kind of high risk. It could just fail, and then the chip is destroyed and you don't get a second try. Back then, it definitely wasn't worth it. I think now it probably is worth it. But it still requires a lot of organizing and logistics, and even then it's not guaranteed.

(snip)

https://www.cbc.ca/radio/asithappens/as-it-happens-friday-edition-1.5875363/this-man-owns-321m-in-bitcoin-but-he-can-t-access-it-because-he-lost-his-password-1.5875366

(I remember back in the day, our agency had a few Ironkeys to transport sensitive data but never heard about their use again)

[louis-t]

69. I was trying to remember the details of this incident.

First thing I thought of when I read this post.

[Brainfodder]

54. I never could have anticipated sales of NOTHING could drop in price?

[Aussie105]

55. My Bitcoin hoard hasn't changed value.

Value yesterday = $0.
Worth the same today.
No loss.

I WIN!!!!!

The sure fire way to not make any gambling losses is to NOT gamble!

[rpannier]

58. Like most of these investments... if you bought early you're fine

If you jumped on the bandwagon later, not so fine

[7wo7rees]

59. Best analogy I heard

Imagine if keeping your car idling 24/7 produced solved sudokus you could trade for heroin.

When I saw that I exited crypto.

[SunSeeker]

61. I hope this criminal-enabling environment-degrading "currency" dies. nt

[JustABozoOnThisBus]

62. I don't understand bitcoin, or the comparison with tulips in this thread.

I have no bitcoins, blockchains, etc.

I have many tulips, and they're growing, increasing like crazy. They're nice, but I can't take them to the bank.

[speak easy]

63. Youtube: "How Tulips became the Bitcoin of the 1600s" (seriously)

I ❤️❤️❤️ tulips. Bitcoins not so much

[JustABozoOnThisBus]

66. Thanks for that history lesson. I'm rich, in 17th century goods.

Bitcoin, I'm too old for that kind of gambling.

[speak easy]

72. PS. I really like tulips.

Have you taken photos of your 'riches' this year?

[mahatmakanejeeves]

64. "here's a screenshot from 12/10/21. you'll never guess what happened next"

David Weigel Retweeted

here's a screenshot from 12/10/21. you'll never guess what happened next

Link to tweet

[we can do it]

65. Boo fucking hoo, why anyone bought into this scam is beyond me.

[Joinfortmill]

74. 'Magic' money. Wouldn't touch that stuff.