The "formal" and "correct" understanding of $USTC:

---- #USTC

1. The information gap behind the surge

It is not a community proposal circulated by the outside world. That proposal has not yet entered the voting stage and is just a discussion on a forum. The core reason is more likely to be the new project Mint Cash and the new version of Anchor Protocol that Anchor team members will soon participate in.

2. What is Mint Cash?

A BTC-collateralized stablecoin system based on the original Terra Classic codebase.

3. What is the connection between Celestia+Nomic+Anchor and Celestia+Nomic+Anchor?

Mint Cash is an IBC chain derived from Terra Classic, so the DA layer should use Celestia. The issuance of stable coins will use Nomic’s nBTC. A new version of the Anchor Protocol named Anchor Sail will be released in Mint Cash.

The new version of Anchor Sail plays a very important role in Mint Cash, playing a key role in the growth and anchoring of stablecoins.

4. Who are the team members?

The core developers come from the former Anchor team, as well as Aleph Research, and its developers are also planning to build Polaris EVM support based on the Cosmos SDK with CosmWasm and Berachain.

5. Mint Cash will be cold launched via $USTC in 2 ways.

(i) Hold $UST or $LUNA before the crash on May 10, 2022

(ii) Lock and destroy the specified amount of $USTC through the airdrop of Mint Cash

The airdrop algorithm here does not disclose the detailed calculation method, but the current statement is that USTC will be calculated at a valuation of US$1, which is also one of the market's fomo points.

6. What are the rewards?

This issue should be what the market is most concerned about. The current circulation of USTC is 9 billion. Many people use this number to directly push the valuation of new projects to nearly 10 billion. However, it is obvious that some of these circulating USTCs have entered new projects, which is reasonable. The status may be 1/3 or 1/2, that is, calculated based on 1 US dollar, the valuation of the new project is between 3 billion and 4.5 billion. The FDV of LUNA 2.0 is currently 800 million US dollars. How much does it cost based on 1 US dollar? You can calculate it yourself.

If calculated based on 0.014 before the market was opened, it would be about 40M-60M. According to current market feedback, the market believes that this valuation is low and the odds are high.

Of course, another question here is your expectations for the new team. After all, this is a project that currently only has one white paper. If you are a rational thinking investor, then you should get to know the team more deeply and read the white paper.But if you are an old degen, you will probably like it very much.

7. Market reaction.

From the concept of Celestia+Nomic+Anchor to the USTC market, it took 3-4 days or even a week. The currency price did not even have any fluctuations in the past few days. In addition, USTC's liquidity is very good, not hundreds of thousands or hundreds of millions. With the kind of depth that everything can pull away, the trading volume of Binance alone exceeded 100 million last night, and it continues to grow today.