ETHUSD co-creator Buterin slams Ponzis, algorithmic stable coin

Vitalik Buterin, co-creator of ETHUSD, weighed in on the disaster that saw Terra LUNA USD and its algorithmic stable coin TerraUSD UST USD collapse last week.

What Happened: In a tweet on Saturday, Anthony Sassano suggested that the criptocurrency industry should stop experimenting with Ponzis, algorithmic stable coin, yield farming, and other unsustainable nonsense and focus on applications in other areas like decentralized identity and public goods funding.

His post attracted support from Buterin, who said he agreed hard on this. In Buterin's view, the term algostable is being used as a propaganda term that puts uncollateralized stable coins in the same bucket as collateralized ones like DAI DAI USD.

DAI is an ethereum-based stable coin managed by the Maker Protocol MKR USD and its decentralized autonomous organization.

Buterin said that they were very different and that they had been vocal about his concerns regarding uncollateralized stable coin weeks before the UST scenario.

Earlier this year, Terra s founder Do Kwon told his Twitter followers that UST's success would be the end of DAI.

The founder of Terra is working on a revival plan for UST and LUNA holders, as per his most recent update.

Price Action: According to data from Benzinga Pro, LUNA was trading at $0.000261 at press time.