MAKERDAO MKR : Are you ready for the dump?

Let's talk a little about #MAKERDAO and #MKR token.
Did you know that this protocol works exactly like #Terra #Luna?

Abstract from WhitePaper
"If the Collateral Auction does not raise enough Dai to cover the Vault’s outstanding obligation, the deficit is converted into Protocol debt. Protocol debt is covered by the Dai in the Maker Buffer. If there is not enough Dai in the Buffer, the Protocol triggers a Debt Auction. During a Debt Auction, MKR is minted by the system (increasing the amount of MKR in circulation), and then sold to bidders for Dai."

Now it's funny to see that it's exposed totally to stETH and wETH. And you know what? Where is your Staked ETHUSD ? Actually, the majority is on Lido, and Lido has a plan: blow another one exactly as happened with Terra / Luna.

Has anyone ever seen a proof of reserve for all the Ethereum that has been staked on Lido, Aave, or MakerDao?


Can you see? MakerDAO started losing total locked value slowly, but Lido keeps it up 'till the end.

And now it's happening again...
Funny Fact... MKR token pumped hard 3 days after the big crash. And it didn't lose too much value during the crash.

And now this...

So, beware. Someone is going to trigger MakerDao. When triggered, the protocol will enter a messy algo MKR issue to keep the DAI collateral and... you know. Terra Luna was fun...

If timed right, MKR could be your next Lambo.

Feel free to share this idea on Twitter.

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