It seems someone isn’t getting along very well with the whole Terra/Luna omnishambles. At all. Check out what landed in our inbox this morning.
May 13, 2022
GAM Holding AG is not in negotiations with Terraform Labs for support
the Luna stablecoin
A press release purporting to be from GAM Holding was published at
11pm UK time on 12 May. There is no truth in the story and GAM did it
not issue a press release. GAM has strict controls over that
Distribution of press releases and we investigate the source
of this story and how it was published.
The fake “press release” was posted last night via AccessWire’s pay-per-mail service, featuring GAM’s logo, a quote from CEO Peter Sanderson and even a phone number to contact the company’s flack. (FTAV tried to call it several times but unfortunately it didn’t work). At pixel time it’s still on the AccessWire site, but in case that changes we’re duplicating it below:
GAM Holding could be Terra’s White Knight
Leading wealth manager could bail out billions of dollars in UST
ZURICH, SWITZERLAND / ACCESSWIRE / May 12, 2022 / Leading asset manager GAM Holding AG is pleased to announce that it is in talks with Terraform Labs (Terra) to back its Luna stablecoin (UST). GAM is expected to invest between $2 billion and $3 billion to absorb the excess supply of UST during the current sell-off. The move aims to restore UST’s peg to the US dollar.
“Our interest in supporting UST reflects our interest in supporting a dynamic, innovative and resilient crypto market,” notes GAM CEO Peter Sanderson. “We firmly believe in the ecosystem of Terra. Equally important, we believe in UST’s algorithmic valuation approach. Naturally, when investors have appropriate incentives, they act in a way that preserves price stability. When black swan events impact markets, opportunities open up. We see opportunities in UST’s recent activity and continue to see much promise in Terra’s broader strategy.”
Predictably, the fake press release was immediately picked up by distribution silos and a mix of notoriously ruthless crypto outlets Social media accounts. Desperation is eternal, especially in the world of digital assets.
— BitBookKeeper #CryptoTax #Accountant (@Bitbookkeepers) May 13, 2022
Thanks to the crypto brothers behind the release, there is an admirable lack of typos. The fake Sanderson quote has just the right tenor of the waffle. As connoisseurs of the fake press release, we can’t help but admire one that’s a little neater than most. And GAM has some history when it comes to shady investments, so maybe it seemed like a plausible candidate here.
But the idea of a beleaguered mid-tier Swiss wealth manager pumping $3 billion into an already imploded algorithmic stablecoin shows just how tragi-comically stupid the whole saga has gotten.
As tragic as the collapse has undoubtedly been for many people who have poured their life savings into magical internet money, all they have to do is realize that Terra/Luna is NGMI.
Earth to Bloomberg – FTAV
Earth for Investors – FTAV
Sticky fingerprints – FTAV
Source: Crypto News Austria