This was collateralized, very different from Luna.

This is one of the things why crypto is having a hard time going into the limelight recently. All the exploits and hacks have degraded it’s status from being considered a legitimate investment/mode of payment into some sort of quick gains or quick loss strat for middle class earners just to even buy a house.

This is very misleading and factually incorrect. There was no hack, and the billion of aUSD is still in the user’s account. This user simply found a bug while using the protocol (claiming rewards from one of the LP pairs that was just launched)

The depeg occurred mainly due to retail panicking

They will just do a rollback and act like nothing happened,

The hacker was too slow to move the assets out of the System before it was shut down.

Why do they not test these things with small amounts of money first?  just get a $billion in there and hope for the best.