Terra Founder Accused of Cashing out an Estimated $2.7B Before the collapse of UST
By: Obinna Tony
June 17, 2022 9:57 AM
Crypto space is like other spaces, made up of people from different backgrounds dealing with each other. The latest is on Do Kwon. He was accused of cashing out $2.7b. The allegation began by a Twitter user with the username, “FatManTerra."
He tweeted a detailed thread, highlighting how Kwon and other influencers associated with Terra, drained the network to buy stablecoins like Tether (USDT), which are pegged on the US dollar. The Terra stable coin was pegged on Bitcoin to maintain its value.
In the series of tweets that come as a thread, the poster highlights an important point highlighted here; “Some of you thought $80m per month was bad. That’s nothing. Here’s how Do Kwon cashed out $2.7billion (33 x $80m!) over the span of mere months thanks to Degenbox: the perfect mechanism to drain liquidity out of the LUNA & UST system and into hard money like USDT.”
Luna 2.0 token dropped 54% in value in the course of the last two weeks which has left crypto investors at a loss. There has been a bit of lackluster in the rebirth of Luna 2.0 and it is about the market performance. In a space of two weeks, after LUNA 2.0 tapped a high of $11.33 per unit, the new LUNA lost 54% in fourteen days.
In reality, LUNA’s market performance has not been the best as well as other arrays of crypto assets that have been affected by the bear market. But, Do Kwon is currently being accused of dealing in the shady act by the twitter whistleblower.
The accused, Do Kwon has denied the allegation laid against him that he cashed out $2.7 billion before there was a crash in the UST market. This has created a lot of conversations on Twitter. Random users are discussing how Kwon is humbler right now in comparison to Luna’s peak, when he brandished the word, “Poor,” as he labelled people derisively. What you will never expect less from the Twitter crypto space is them not turning any invention into a meme fest. They do so in a thread discussing Kwon seemingly, “bending over”Daniele Sesta the founder of abracadabra and “SPELL holders.”
Just as the whistleblower, Fatman said trying to repeat the words of the Terra founder popularly known as Do Kwon before the crash, “UST is the future. Decentralized money is sound money. UST won’t de-peg.” he assures the community, Fatman continued in Do kwon"s own personal words, “Centralized stablecoins will eventually rug you. According to Fatman, an important question will be why did he cash out $2,7b from UST into USDT and USDC?”.
After Do Kwon denial, Fatman has continued to accuse Kwon of his tricks and he hasn’t stopped being critical of Kwon’s commentary or denial on the issue at hand.
