This kind of thought experiment generally understates how much of a scam Terra/UST was.
Terra had tens of billions of UST tokens outstanding that weren't backed by anything. It was "stabilized" only by 1) the expectation of new people depositing (a classic ponzi scheme), and 2) Jump wash-trading.
And the thing with ponzi schemes is - once new people stop depositing, the system can collapse with hours. This is exactly what we saw.
You can't gracefully transition from being 100% insolvent to 100% solvent without triggering this kind of death spiral first.
It's doing this space a disfavor to pretend like UST could have ended in any other way than it actually did
Still one of the best charts this industry has produced
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