[vba616]

Everybody makes mistakes. Everybody has to learn everything for the first time.

I would suggest the fundamental problem is that nobody considered looking for counterexamples to assumptions in "legacy" financial markets.

Like, how could people who are excited about reinventing finance not be interested in the odd corners of existing markets, like penny stocks and whether/how they go to zero? Or financial crises and panics.

Sure, most people in the world couldn't care less, but by definition, if you are making cryptocurrencies, obscure aspects of finance are your idea of a good time!

[55555]

Because the end users aren’t actually that interested in finance. They just want to get rich quickly without effort.

[netheril96]

One doesn’t need to look at traditional finance. A similar algorithmic “stable coin” Iron/Titan collapsed a year ago. The problem is with people not understanding anything before jumping in.

On the other hand, jumping in without understanding is why a small fraction of people got ridiculously rich from SHIB.