Terraform Labs Co-Founder Denies Accusations of Fraud

Jun 09,2022
KingData News: Terraform Labs co-founder Daniel Shin recently told the Financial Times that the company wasn’t aware of “any flaws” in the blockchain’s algorithm. Shin, one of the most renowned tech entrepreneurs in South Korea, dismissed accusations of fraud, claiming that there was no intention of deceiving users. According to USA Today, the Seoul Metropolitan Police Department has recently launched an investigation into possible corruption of Terraform Labs. (u.today)
This indicator provides follow-up on the depg of Terra's stablecoin UST on May 8th. Terra's stablecoin UST briefly lost its peg to the U.S. dollar on May 8th, dipping as low as $0.985. The depeg event came after a series of multi-million dollar UST selloffs as one account traded about $85 million worth of UST for USDC on Curve Finance, while another user reportedly sold $108 million worth on Binance. UST posted a slight recovery shortly after Terraform Labs CEO Do Kwon posted a tweet calling out the stablecoin's critics.