Terra Luna, the previously renowned top 10 cryptocurrency had been on a free fall from its all time high at $118 since May 8 that has its price plummeted to $30, then $18 in one single day along with its algorithmic stablecoin UST deviating from its intended $1 peg. The tragedy does not stop there as the value of the coin nosedived further down to fraction of a penny (currently at $0.0004 at the time of writing) in the span of few hours.

Investors that are heavily invested in the project suffered astronomical losses and are in a state of despair. Some loses their tuition fees whereas some lost a few month worth of their salary and worst of all, there are people who lost their entire life savings during the capitulation event.

Desperate investors had expressed their anguish all over the internet and even contemplating suicide as they did not expect the whole ecosystem to crumble overnight and obliterated their entire portfolio. It was indeed an unfortunate doomsday for the fellow lunatics (as Luna community call themselves).

The entire crypto market that had already been on in a several-months-long bear market prior to the catastrophe were sent further down as the Luna Foundation Guard (allegedly) sold their Bitcoin reserves to pump up the price of UST. This action had resulted a death spiral in conjunction with the depegging of the UST where it intensifies the fear within the market that pressured long time investors to exit their positions immediately at a loss to avoid further liquidation.

The circulating supply of the LUNA token had skyrocketed to 6.5 trillion in just a few days during the fiasco that causes the token to be essentially worthless. Binance had delisted Luna trading pairs for a brief period to protect their users from falling into the potential scam and this adds insult to injury to the whole situation as fear are contagions.

Speculation goes as two funds managers in the United States, Blackrock and Citadel had orchestrated an attack that resulted in the crash but was denied by the accused. Critics are also condemning Luna for being a Ponzi scheme as 20% APY on Anchor Protocol seems too good to be true.

Whatever it may be, it's game over for the Terra Luna ecosystem. The tokens are now worthless. Stablecoins are unstable. Terra Luna will have a blemish forever on its history and nobody will ever trust the projects and its founders anymore. It is indeed disheartening to see how all this turned out.

Never ever in my life that I anticipate any of the top cryptocurrencies to face capitulation of this magnitude. Witnessing this to unfold blows my mind. I deemed myself to be lucky as I did not own any of the asset from the Luna ecosystem before the collapse.

Previously, I do have the urge to invest in the ecosystem as I saw that the momentum of growth for the entire landscape had outperformed its peers and is said to be the candidate to rival Ethereum in the future. However, being poor, I refrain myself from involving in the ecosystem as one Luna token costs tens of bucks, which I honestly couldn't afford. I guess being poor is not a bad option for me after all.

My heart goes to those who are impacted by this misfortune and hope they will be recovered from this trauma soon. If you are the victim of this event, I am sorry that you are going through this. It is a trying period indeed, but don't be too devastated as money can be regained in the future. Even if you lost your entire savings, it's absolutely NOT the end of the world. Take this as a harsh lesson that make you grow, and be excited about the fortune you will be making back soon in the future. What doesn't kill you makes you stronger.

Lessons learned:

1. Invest what we could afford to lose only

2. Even the top 10 crypto can go down to zero

3. Our life is more important than money