American billionaire Bill Ackman described Terra as a “crypto version of the pyramid system”.
The last person to comment on Terra’s collapse was American billionaire Bill Ackman. Ackman said Terra bears similarities to a pyramid system without a foundation. In a statement on the subject, the billionaire said:
“Investors were promised 20% returns, backed by a token whose value is driven solely by demand from new investors in the token. There is no underlying business.”
Ackman refers to the return system in Terra’s popular Anchor app with 20% return. This practice in Anchor was widely criticized and expressed as unsustainable before it collapsed in the crypto community as well.
On the other hand, Ackman added that blockchain technology is “excellent” and has “enormous potential.”
