I Lost $250,000 With Luna... Here's What I Learned

TL;DR

The speaker lost approximately $225,000–$250,000 in the Luna/Terra crash after initially investing $25,000 and then $200,000 at a ~40% discount. They describe the collapse as a predictable “death spiral” triggered by a coordinated sell-off while liquidity was being moved.

Key insights

• The Terra project pivoted from an e-commerce use case (saving merchants 1% vs. 3% credit card fees) to offering a 20% savings rate as customer acquisition, funded by VC money — similar to Uber subsidi
• Do Kwon, the founder, had previously been an anonymous cofounder of Basis Cash, a failed algorithmic stablecoin project that returned 85% of its $80M raise.
• A critic on Twitter laid out a precise 15-step plan showing that $1B of sell pressure could destroy Terra’s $40B valuation; Do Kwon publicly mocked the critic, daring billionaires to try.