Do Kwon is the creator of TerraUSD and its native token Luna

The crypto trade is battling a critical credibility disaster this month. The crash of TerraUSD (UST), a stablecoin pegged to the US greenback, and its native token LUNA earlier this month bankrupted many traders in a matter of days and despatched the crypto market right into a tailspin. UST was meant to all the time be price $1 nevertheless it collapsed to as little as 13 cents final week after which to 9 cents this week. The spectacular crash has led to an enormous backlash from indignant traders in opposition to the founder and CEO of the Terra blockchain, Do Kwon.

Who Is Do Kwon?

Do Kwon is the creator of TerraUSD and its native token Luna. However, many believed he hype and promoted a undertaking with no firmer floor beneath. While the South Korean, who graduated from Stanford University with a level in laptop science, all the time carries himself with confidence, he has been particularly vital of his opponents and detractors on social media. He has criticised traders for placing their cash into rival stablecoin initiatives in addition to lashing out at anybody who questioned his credentials. “Bow before the king,” he mentioned within the tweet.

Kwon has additionally referred to as UST and Luna naysayers “poor”, including, “I don’t debate the poor”.

The Aftermath

Following the crash of his much-publicised pet undertaking, Do Kwon is going through authorized prosecution in South Korea. Five South Korea-based crypto traders have filed felony complaints in opposition to him and his Terraform co-founder Daniel Shin, alleging fraud and violations of monetary rules. Do Kwon can be reportedly going through a tax effective of $78 million for evading company and earnings tax funds.

While Do Kwon will be accused of mismanaging his undertaking and reckless social behaviour, it is extremely unlikely that he would serve any jail time following the felony complaints. Because it is tough to show what he did was a fraud. It was market forces at play. At most, Do Kwon is prone to endure an enormous hit to his status except proof of any wrongdoing surfaces.

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