Today’s sudden price drop liquidate a lot of people. Despite Dani and Sifu’s numerous post on wonderland backing the so called floor price (backing price), it happened today just because I quote,
“Bot run out of money”. Let’s discuss everything step by step.
Why leverage up?
People leverage up based on educated decisions and the information they have regarding market. There are no gambling, degen vibe here. This is standard practice. You take educated decision on market.
Dani’s promise on the complete ecosystem.
While it is understandable that Wonderland and Abracadabra is not same entity, dani’s big selling speech includes them as a cohesive eco-system. In that sense wonderland admins should have a good idea about the liquidation factors of wmemo. “bot run out of money” simply not an excuse.
“Bot run out of money?” issue.
According to sifu, they should be able to buy back indefinitely. They had both convoluted and conflicting statement regarding this. Sometimes they said, “they have a limit order”. Sometimes they said “they are doing buyback manually”. Sifu also told that they have allocated 100M for initial buyback.
I am not going to post proves with screenshots everything. But if anyone in the community wants to do that please do so. I will add them in the post. Please let me know if I mislead or misunderstood any information.
Path towards gaining trust:
I want answers and block chain verifications that the “bot really run out of money” and all the buy back they have done so far. This should be really simple to do so.
“Bot run out of money” statement proves that it’s completely a fault from the admin team and more individually from the side of Sifu who is managing the funds. I want his complete statement here regarding what he plans and how he plans to compensate the liquidated people because of their mistake.
Also please wonderland team, what should we consider as a serious statement? People are taking financial statement based on their statement and they seems to not serious about their promise.
UPDATE:
Discord
Comment: But there is no timeline included when they will do that. Also it is totally unfair for Sifu and Dani not to take their share. If they are distributing wMEMO tokens, I recommend to distribute to them also.
Agree that we need more than just discord messages and tweets. The amount of value that has been erased / liquidated even in the last 2 weeks is incredible.
We need some sound information that this project is going to survive tomorrow… Every night is a risk that whales dumping will tank the price 50+%.
At this point even from where we were a week or 2 ago price has been dipping, and people who were 75% LTV are now 50% or less! And bc “bot ran out of money” and devs were asleep, the price decreased more than 50% completely wiping people out who were not even unreasonably leveraged.
We need the questions answered of
What happened?
Why?
What are devs doing to fix this?
Is this project going to survive in the next week, 2 weeks? hell, even thru the end of this week?
Who told you to leverage? You should sue for bad financial advice. I’m sorry if you lost your position I lost a shit ton of money too, but I deleveraged the first time and have been buying dips. After the first bloodbath this is no one’s fault but your own. Honestly they need to remove the cauldron if people are going to leverage more than they can rapidly pay back. If you loop then you should make sure to only loop what you have in mims to cover or other assets like I did to sell and save your position. Again my mistake and not financial advice. If you take a leverage you are betting, there are always two sides in a bet and you always have a chance to lose. How about accept your calculations were bad and the risk was more than you should have taken. Stop blaming others for what you did to your own funds.
Exactly my point. If people would get liquidated at 10-20% price drop I would not have any issue. They have numerous statement that said they would back the floor price. But people got liquidated at 40-50% leverage position which is totally un-acceptable.
I would be really disappointed if they avoid this post and act like they didn’t see anything.
I didn’t loop. I had I think around 50% leverage. No one told me to borrow but I borrowed at 50% below backing price when time was $1016 (around 52-53k wMemo) and I got liquidated.
I took the borrow decision based on sifu and dani’s statement that they would strictly buy back at floor. This was as educated decision. There is no way in the world that they should not be accountable for their statement.
Lmao y’all act like this is regulated or done on a massive scale. This is a young growing project that anyone can submit a proposal for. And anyone can leverage if they have DoNe Mu rEaSEarCH
i leveraged responsibly i did not expect backing price to go from 58k 3 days ago to 23k, that is a bit much to be honest, i am down 6 figures and keep getting yelled at buy newcomers sitting comfy and yelling at us like we were idiots, i have screenshots and the address. i have been here since september and it is not right for danny and sifu to get liqudated 2 times over and take us down with them and then respond with a GM… there are many other issues but to be honest i am suicidal and i cannot get off the fucking computer because i lost everything i just want a fair option where we are at least refunded our amount before sifu caused us to go to 900 the first time and 400 the second while he was sleeping
even the holders are down 90% and i was one until today… the frog nation has never been more divided and treated the loyal long term holders like utter shit.
“Path towards gaining trust” Than you should vote on the Proposal @Barrel Aged created: “Periodic Treasury Reporting” could be the most important and useful proposal at the moment, so that we don’t have to guess what’s happening with the Treasury on a day like today. Link: [RFC] Periodic Treasury Reporting
Exactly how I feel man. My liquidation price was $23,000 price was in the $40,000s and I just left the room to eat dinner.
With all due respect to people that think our leverage was the problem. You don’t know what you are talking about. Using leverage allows us to buy more TIME. More buys = higher price. You take out that liquidity and watch TIME go bye bye. Think about it, we get to buy responsibly 50% more TIME than with our capital alone. It’s locked up so we are not swing trading.
Why is this turning into the small guys vs the whales? let me tell you something, real whales aren’t plying here. We are all normal guys that want the same thing.
What happened was a shit show and it could have been prevented if the team acted swiftly.
You cant blame it on investors like you. Danny and Sifu owned up to it, and I respect that. Which made me buy more after I had just lost 70% of my investment.
If they decide to do the right thing as they announced, I will have to issue with them and will be forever loyal. If not, then I will support the idea of an audit to understand how the safety mechanism was not in place before last night and if it was active, what resulted the malfunction.
Some other lending platform is launching on AVAX network soon. I saw them cut a deal with other protocols to not sell their liquidated tokens in the open market. Instead, give right of first refusal to purchase the the liquidated assets over the counter at a discount. This way it gives the protocol ability to avoid disasters like the one we had yesterday.
Why cant we do that with Abracadabra? Why 2 times in less than a month wiping 70% of the value? Abracadabra is essentially one with TIME, right?
We played by the rules and we did the right thing. We got fucked just like you but harder. So drop the fuck the gamblers bullshit and know we are here and still bullish on TIME.