The Block's Research Director: The Only Way Out of Terra's Mess Is to Temporarily Give up on $UST

Larry Cermak, Director of Research at The Block, tweeted that $LUNA is below $0.05 and literally just providing exit liquidity to UST holders, and there is infinite amount of bad debt. And even so, at this rate liquidity will soon start to dry up. The only way out of this mess is to temporarily give up on $UST, switch to $USDT/$USDC and fully focus on growing the Layer1 ecosystem. And then commit to fund collateral or pay off $UST bad debt as Layer1 grows. Of course, even then the chances of success may be close to zero, but not doing so would certainly be a complete failure.