♾️ Meta's Metaverse struggles continue

♾️ Meta's Metaverse struggles continue 🪠 Terra Classic USTC pumps 40% on re-peg proposal 📨 The first digital yuan transfer: ushering in a new era for digital money

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Now, onto our topics:

♾️ Meta's Metaverse struggles continue

🪠 Terra Classic USTC pumps 40% on re-peg proposal

📨 The first digital yuan transfer: ushering in a new era for digital money

Meta's Metaverse struggles continue

Since its inception, Meta's metaverse push has been fraught with difficulties. Executives have now come out to openly criticize Horizon Worlds and the state of the flagship metaverse app.

Meta's VP of metaverse, Vishal Shah, has been particularly vocal about the quality issues plaguing the platform. Shah has proposed to lock down the app in a "quality lockdown phase" that would last until the end of the year. The goal is to fix all the "quality gaps and performance issues" before opening up to a wider audience.

This move has been met with some resistance from within Meta. Some executives believe that Horizon Worlds is too important to the company's future to be locked down for an extended period of time.

Horizon Worlds is an app that targets people who already own Meta Quest VR headsets, which are the only type of virtual reality system that allow access to that metaverse. The platform for web environments was hinted at, but no further information has been released on the subject.

Zucc himself has said that the metaverse is essential for the future growth of Facebook/Meta. But in July, Reality Labs (Meta's metaverse division) reported that it has lost $2.8 billion. That's a lot of money to spend on a product that isn't generating any revenue.

With such high stakes, it is clear that Meta is facing significant challenges in its efforts to build a successful metaverse platform. With the app in a state of flux and executives at odds with each other, it remains to be seen whether the company can turn things around and deliver on its ambitious vision.

Terra Classic USTC pumps 40% on re-peg proposal

The Terra Classic USD (USTC) stablecoin has soared 40% in value on the back of a proposal to re-peg it to its original $1 value.

The proposal was written by Tobias Andersen aka Zaladar, Terra blockchain core developer. The document titled Terra Classic USTC re-peg proposal proposes to reduce the debt that was accumulated back in May during the infamous Terra crash. The blockchain engineer suggests recapitalizing the stablecoin in a way that is similar to quantitative easing, but without providing too many specifics.

The latest proposal makes it seem like the devs are trying to put the genie back in the bottle, but whether or not this will actually happen remains to be seen. So far, "lunatics" have been bullish on the news, with USTC trading at $0.04057 and LUNC is up 4%. That doesn't mean, however, that the price won't come crashing down again.

Only time will tell if the Terra project can make a comeback after the disastrous events of May. But with an active community and some positive news on the horizon, there is a chance that it might just pull it off. Most likely that won't happen though and whoever is still buying USTC/LUNA will be left high and dry. But if you're a gambler, then maybe you'll want to give it a shot.

The first digital yuan transfer: ushering in a new era for digital money

Fujian province in China is now officially on the map for being the first to execute a land transfer using the digital yuan CBDC. This marks a significant milestone for the Chinese central bank's digital currency, which has seen increasing adoption and usage throughout 2022. The Fuzhou University of International Studies and Trade made the transfer for a plot of land, paying 51 million yuan in digital yuan.

The transfer is first of its kind in the world and ushers in a new era for digital money. The Chinese government is now working on increasing the use of digital yuan by implementing 10 policy measures to promote its usage.

This is in addition to the many other use cases that have been trialed in the past year, such as tax payments and inclusive financial services. With more and more real-world applications, it's only a matter of time before the digital yuan becomes the new standard in China.

Can crypto benefit from this? Probably not directly, however, the increase in use of digital yuan does increase awareness and adoption of digital assets, which is a good thing for the industry as a whole.