Swiss Asset Manager GAM and Terra Negotiate a $3 Billion Bailout

  • 📰 Crypto_Potato
  • ⏱ Reading Time:
  • 56 sec. here
  • 2 min. at publisher
  • 📊 Qulity Score:
  • News: 26%
  • Publisher: 51%

GAM Holding has emerged as the first global giant to offer its help to Terra and its deteriorating ecosystem.

United States Headlines News

United States Latest News, United States Headlines

Following the recent fiasco, in which Terra and its two native cryptocurrencies plummeted in value, the organizations behind the project said they will seek outside help. One of the first legacy financial companies that stepped up to offer assistance is the Swiss asset manager – GAM Holding AG.by the 40-year company reads that it has begun negotiations with Terraform Labs to “help support its Luna stablecoin .

GAM said it is “expected” to invest between $2 billion and $3 billion to “absorb excess supply of UST during its current selloff,” which should revive the UST peg to the US dollar. “Our interest in supporting UST reflects our interest in supporting a vibrant, innovative, and resilient crypto market. We firmly believe in Terra’s ecosystem. Just as importantly, we believe in UST’s algorithmic approach to valuation. When investors have proper incentives, they naturally trade in ways that maintain price stability.” – commented GAM CEO Peter Sanderson.the events of last week that brought not only Terra and its cryptocurrencies down but the entire market.

Due to the algorithmic nature of UST and its relation with LUNA, once the stablecoin started to lose its peg against the dollar, investors began taking advantage of the system by arbitraging it with LUNA. This led to massive selling pressure on the latter, which propelled a mind-blowing price slump. LUNA traded above $80 a week ago, but it sits at $0.000055 as of writing these lines. Many exchanges have halted trading, and Terra

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 568. in US
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Any external confirmation of these news? Any source? You are the only one in the entire world who says this.

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Podcast: Terra Terror... and Elon Musk Offers to Unban Donald Trump on Twitter | CoinMarketCapOn today's CoinMarketRecap podcast with ConnorSephton, Terra terror: LUNA makes its way into the history books... for all the wrong reasons ❌ Subscribe to our show for free on Apple Podcasts, Spotify and Google Podcasts 🔥 ConnorSephton ArabianDoge will launch blue chip NFTs 🚀🔥💎 ConnorSephton BuyTheDip ConnorSephton Crypto millionaires will be the greatest philanthropists the world have ever seen. We know what it's like to have nothing. I'm still working a minimum wage job in discount store despite gaining heavily from crypto. Follow CCp00l_Daniell for guide on Btc earning tips,& tweets
Source: CoinMarketCap - 🏆 290. / 63 Read more »

Tron DAO Launches its 'Terra Destroyer' Stablecoin on Multichain DEXICYMI: TronDAO's own $USDD is now available on Multichain DEX Tron $TRX
Source: Utoday_en - 🏆 295. / 63 Read more »

Over $700 Million Liquidated as Terra (LUNA) Crashes Below $1The crypto markets turned dark red once more, with the number of liquidated traders nearing 300,000.
Source: Crypto_Potato - 🏆 568. / 51 Read more »

Terra Death Spiral Hits $3 as Bailout Rumors FadeTerra has continued to collapse as the blockchains UST stablecoin has failed to regain its dollar peg. Rumors that a venture capital-backed bailout has fallen through have added increased downward...
Source: CryptoPanicCom - 🏆 563. / 51 Read more »

Terra founder Do Kwon shares plan to save the UST stablecoin peg⬆ +12 Terra founder Do Kwon shares plan to save the UST stablecoin peg $UST terrausd $LUNA terra $LUNA terra
Source: CryptoPanicCom - 🏆 563. / 51 Read more »

UST Falls to $0.35, Terra Futures See $106M in LiquidationsFutures traders lost $106 million on Terra’s LUNA in the past 24 hours as prices fell below $7. By shauryamalwa
Source: CoinDesk - 🏆 291. / 63 Read more »