Doe Kwon Dissolved Terraform Labs Days Before UST & Luna Fall

Doe Kwon Dissolved Terraform Labs Days Before UST Luna

A surprising finding from legal court documents could shed light on the origin of the LUNA and UST price declines.

According to South Korean news channel Digital Today, the founder of Terraform Labs Do Kwon apparently closed two of his branches days before the demise of Terra (LUNA) and the stablecoin TerraUSD (UST).

On April 30, Terraform Labs decided to announce at its general shareholders’ meeting that the company is closing its Seoul branch and its Busan headquarters.

In addition, Terra is currently implementing a revitalization strategy based on the second amendment to Governance proposal 1623. Terra stated in one of her tweets:

In 2018, Do Kwon co-founded Terraform Labs with Ticket Monster founder Shin Hyun-sung. However, on March 2, 2020, Hyun-sung resigned, leaving Kwon as CEO of Terraform Lab.

On May 9, UST continued to plummet in value and lost its peg to the US dollar. As of right now, it is trading at around $0.08.

However, Do Kwon reassured crypto traders that Terra Labs has a plan to save Terra. To do this, the CEO suggested that the coin capacity will be increased from $300 million to $1.2 billion.

Earlier this month, Terra (LUNA) co-founder Do Kwon was also fined $78 million for tax evasion for disapproving of the way cryptocurrency taxes were handled in the country.

by Gyth L. – Crypto Analyst, BitDegree

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