Skip to main content

Luna News Roundup: Terra Founders Under Threat

 


The cryptocurrency LUNA lost more than 99% of its value in a short period of time, while Terra still could not restore the US dollar peg to the stablecoin UST.


After the cryptocurrency LUNA and the stablecoin Terra crashed last week, calls for comprehensive crypto regulation by the ECB and members of the EU Commission are getting louder. Terra founder Do Kwon was threatened and South Korea launched an investigation into what happened.


Officials are calling for stronger crypto regulation

Italian economist Fabio Panetta is a member of the Executive Board of the European Central Bank. In a keynote speech on May 16, 2022 about the digital euro, he criticized the current crypto regulation.


“Recent developments in the crypto-asset market show that it is an illusion to believe that private instruments can act as money when they cannot be converted into public money at par at any time.”


Panetta also sees great dangers in stablecoins. He cited the recent Terra crash as an example of this: “There is no guarantee that they (stablecoins) can be redeemed at face value at any time – just last week the world’s largest stablecoin temporarily lost its peg to the US dollar. Also, stablecoins are not covered by any deposit insurance, nor do they have access to standing facilities from central banks. They are therefore vulnerable to runs, as demonstrated by the collapse of another stablecoin – TerraUSD.”


Officials in the UK also intend to push the regulation of stablecoins. However, algorithmic stablecoins like Terra are exempt from this. Also, US Treasury Secretary Janet Yellen wants to pass a bill regulating stablecoins by the end of 2022.

The South Korean Financial Services Commission (FSC) and Financial Supervision Service (FSS) have requested information from local cryptocurrency exchange operators about transactions related to TerraUSD and Luna . This includes data on trading volume, closing prices and the number of affected investors. The country's financial regulators also demanded the stock exchanges' countermeasures against the market collapse and analysis of the causes of the collapse:


"Last week, financial authorities requested data on the number of transactions and investors, and assessed the relevant actions of the exchanges," a local exchange representative said. "I think they did this to devise measures that would minimize the damage to investors going forward."


Terra Founder threatened

Do Kwon, the founder of Terra, has been threatened several times. Recently , a LUNA investor even broke into Kwon's home in east Seoul. He then rang Known's doorbell while his wife was in the apartment.


"I lost about 2 to 3 billion won ($2.3 million)," the suspect told reporters after undergoing an investigation at Seongdong Police Station. According to authorities, after Kwon's visit, his wife asked the police to protect them both from further harm.


Disclaimer

All information contained on our website has been researched to the best of our knowledge and belief. The journalistic contributions are for general information purposes only. Any action taken by the reader based on the information found on our website is entirely at their own risk.

My Top Picks
Honeygain - Passive earner that pays in BTC or PayPal
MandalaExchange -The Best no KYC crypto Exchange! 
BetFury - Play And Earn BFG for daily Bitcoin and ETH dividends!
Pipeflare - Faucet that pays in ZCash and Matic, Games pay in DAI
Womplay - Mobile dApp gaming platform that rewards in EOS and Bitcoin
Cointiply - The #1 Crypto Earning Site
Torum - Join the latest Social Network and earn TRM for Free! 
LiteCoinPay - The #1 FaucetPay earner for Litecoin 
LBRY/Odysee - YouTube Alternative that lets you earn Money by viewing videos!
FaucetPay - The #1 Microwallet Platform
FREEBTC - The #1 FaucetPay earner for Satoshi's
FaucetCrypto - An earning/faucet site that pays out instantly
FireFaucet - An earning site that pays better for some than Cointiply
DogeFaucet - Dogecoin Faucet
xFaucet - BTC, ETH, LTC, Doge, Dash, Tron, DGB, BCH, BNB, ZEC, FEY - Claim every 5 minutes
Konstantinova - BTC, ETH, LTC, Doge, Dash, Tron, DGB, BNB, ZEC, USDT, FEY, 25 Claims Daily

Comments

Post a Comment

Popular posts from this blog

From offchain to offchain: Statechains meets Lightning

  Without a doubt, the most significant off-chain Bitcoin solution is the Lightning network. But in its wake, the statechain has emerged as an intriguing replacement. There is currently a proposal to link the two offchain networks. From an ocean, for example, you can see sunbeams glistening in the water, waves rippling, and possibly a jellyfish drifting toward the light. But you only see a small portion of it. The distance from the sea's surface to its bottom is hundreds of meters. It has dozens of different fish species swimming in it, crabs and starfish crawling on the bottom, shells clinging to rocks, and sea plants climbing up. A completely new world starts where your gaze diverges. You can picture a blockchain like Bitcoin, just like the sea. What you see on the outside is only a small portion of what is actually there; the set of UTXOs (coins) and transaction history that full nodes store are just the beginning of a much larger world. It's the plan, at least. With Bitcoin
Post a Comment
Read more

MSP Recovery and Tokenology aim to optimize healthcare with the help of Polygon

  MSP Recovery LLC, a Miami, US-based healthcare provider with an estimated enterprise value of $32.6 billion, is partnering with Web3 company Tokenology to jointly launch a new blockchain platform called Lifechain. Lifechain wants to leverage the verifiable and transparent nature of blockchain technology to aggregate medical care claims, medical expense reports and patient data and streamline their processing. For this purpose, MSP Recovery launched its own LifeWallet in January, which already has 1 million users. In addition to the wallet and blockchain platform, an associated crypto token called LifeCoin is also used. The press release explains that the primary purpose of the system is to enable secondary healthcare providers to more effectively bill health insurance companies for their costs. “The number of medical claims tokenized going forward will surpass $50 million per day by 2024. For this we need scalability, security and sustainability, which we have only found with Polygon
Post a Comment
Read more

Phishing attack on popular crypto sites tries to empty wallets

  Several major crypto sites such as Etherscan, CoinGecko, DeFi Pulse, and others report malicious pop-ups scammers use to try to trick users into connecting their MetaMask wallets. The phishing attack came from a domain displaying the Bored Ape Yacht Club (BAYC) logo. "We are investigating the root cause of this attack to fix the threat as soon as possible," CoinGecko founder Bobby Ong tweeted. The phishing attack appears to have been triggered by a malicious ad script from Coinzilla, a crypto ad network, according to CoinGecko. Etherscan also advises its users not to confirm any transactions that may appear on the website. The attackers attempted to use the hype around the “bored monkeys” non-fungible tokens (NFT) to gain access to the cryptocurrencies of unsuspecting website visitors. Although the websites affected by the scam attempt have reacted in the last few hours and deactivated the advertising pop-up, it is still recommended not to connect your MetaMask wallet to ne
Post a Comment
Read more