I don’t care if anyone reads this post, but I have to get this off my chest.
I am a 21 year old who has done quite well, and I put a solid chunk of my net worth into Anchor Protocol with UST around 7-8 months ago. I figured that it was safe as chips, and I even got the insurance just in case something happened (although I stopped re-financing the contract because I got lazy, so it wouldnt have helped me anyway). But my reasoning was I didn’t have to look too deeply into the protocol because it was a stable coin. Stable coins don’t crash, right? Or so my dumb ass thought.
Unlike every other coin, stock, commodity I invest in, I put pretty much zero effort into learning the protocol, because I sub-consciously equated the UST with USD, and figured that there was no way it would crash. This was to be my little nest egg that I would keep pouring money into.
Had it not been for my need to draw on capital for a property purchase 1 month ago, I would have copped the biggest L in my investing history, and I’ve copped some fat L’s before. But this one would have been unique. It was unique because I stupidly assigned complete trust to Anchor Protocol. I didn’t even think about the possibility of a crash and what that could mean. To have a protocol you put complete trust in – and that was backed by a cashed up foundation – go from hero to zero in a matter of days is surreal.
I have so much empathy for the people who thought the same as me and were caught in the death spiral. Had I been buying a property a month later, I would have lost a huge portion of my net worth. To all those experiencing this very thing, I don’t know what to say. Just keep going. That’s all you can do. You will eventually rise back up with some deep trading battle scars, but ultimately you’ll be wiser for it. Godspeed.