Korean watchdog begins risk assessment of crypto as Terra 2.0 passes vote

The Korean Financial Supervisory Service (FSS) has announced that it will be standardizing the way in which virtual asset risks are assessed.  According to a local news report, this is because it is currently tough to safeguard investors due to the many ways that risk is measured for each virtual asset exchange. While the FSS’s standardization efforts are still in their infancy, when a legal framework for virtual assets has been established, it will be expected that a uniform evaluation system can be implemented for all exchanges. On Wednesday, Stablenode’s…

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Exchanges show initial support to Terra revival by listing new LUNA token

Crypto trading platforms show initial signs of support for the revival of the collapsed Terra network by listing Terra’s brand new token, also named LUNA. The HitBTC exchange took to Twitter on Wednesday to announce that Terra’s new chain token Luna will be available on its platform on May 27. The news comes amid Terraform Labs preparing to relaunch its protocol on May 27 and replace the old chain referred to as Terra Classic with the new chain called just Terra, or Terra 2.0. The new chain will not be…

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Terra were offering unsustainable yields; DeFi can support financial inclusion

Reporting from the inaugural day of the Blockchain Hub Davos 2022 conference, Cointelegraph’s editor-in-chief, Kristina Lucrezia Cornèr hosted a panel discussion centred around decentralized finance (DeFi) titled ‘Programmable Money is Here — and It’s Changing the World as We Know It’. Panelists included Chief Partnership Officer of SwissBorg, Alexander Fazel; Global Markets Lead of Kraken Europe, Lucian Aguilar; Co-founder and CEO of CasperLabs, Mrinal Monahar; and Managing Partner of Coral Capital, Patrick Horsman. In the opening remarks of the conversation, Aguilar reflected upon his attendance of the event two years…

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Lifeline for Terra projects, proposed Terra hard fork and more

The past week in the decentralized finance (DeFi) ecosystem was dominated by Terra’s collapse and its aftermath on various ecosystems it was connected. Now BNB chain has come to the rescue of several stranded projects on Terra by offering financial and technical assistance. After its spiral collapse, Terra co-founder Do Kown proposed a revival plan and a hard fork to revive the blockchain. Chainalysis introduced new tools to monitor and track stolen funds across multiple blockchains. Swiss asset manager Julias Baer is eyeing crypto and DeFi potential. Top DeFi tokens…

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Terra collapsed because it used hubris for collateral — Knifefight – Cointelegraph Magazine

The rise and fall of the Terra blockchain and family of related tokens is both one of the most convoluted and one of the most important stories happening in crypto right now. Assembled here is a plaintext explanation of what Terraform Labs built, why it got so big, why it imploded, what it means for the markets, and what you need to know to keep yourself safe from similar projects in the future. What exactly is Terra? That’s a great question, and we will answer it. But first, let’s found…

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Terra wasn’t a rug pull, it was a poorly designed ‘castle of cards’

Tether and Bitfinex CTO Paolo Ardoino said that the Terra (LUNA) project was not intended to be a rug pull, but was simply “poorly designed.” Speaking on the Terra ecosystem’s market-shattering crash, Ardoino likened its algorithmic stablecoin TerraUSD (UST) to a “castle of cards” that was due to fall at any time. Many in the crypto community have highlighted a long list of dubious comments/actions from beleaguered Terraform Labs founder Do Kwon that raise questions about his actions. It has also been reported that Kwon also worked on a previously…

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BNB Chain offers another lifeline to Terra ecosystem projects

Binance will welcome migration and offer support to projects from the Terra (LUNA) ecosystem following this month’s unraveling of the decentralized finance (DeFi) platform and its algorithmic stablecoin. BNB Chain has committed to providing investment and support to projects that are considering migrating from the Terra ecosystem in the wake of the biggest black swan event to hit the cryptocurrency space in recent years. Stader Labs will become one of the first Terra ecosystem projects to begin integrating with the BNB Chain. The firm builds liquid staking solutions across four…

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Terra crash not a risk to the broader crypto ecosystem, says Huobi Global CEO

As the fall of Terra (LUNA) and TerraUSD (UST) may have a noticeable short-term impact on the decision-making of both retail and institutional investors, it doesn’t pose a risk to the larger crypto ecosystem, according to Huobi Global CEO Du Jun.  In an interview with Cointelegraph, Jun explained that the collapse of Terra will affect the ecosystem by slowing down investor interest in crypto as an asset class. However, Jun noted that this will only be a short-term effect. In the long term, the exchange CEO explained that cryptos like…

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‘Grim Reapers’ financial crimes unit revived to investigate Terra collapse

Legal troubles are mounting for the co-founder of failed Terra crypto project Do Kwon as the South Korean government revives the dormant “Grim Reapers of Yeoui-do” to investigate Terra’s fall. The special investigative and prosecutorial team consists of members from various financial regulators, and is designed to prosecute securities fraud and unfair trading schemes. Potentially at risk are co-founders Do Kwon and Shin Hyun-seong, along with core members of the Terra team. Yeoui-do is the financial center of Seoul. Today: Korea’s “Grim Reapers of Yeouido” – Financial and Securities Crime…

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Early polling from Terra vote indicates 91% are in favor of ‘rebirth’

Terraform Labs CEO Do Kwon’s plan to create a new blockchain “without the algorithmic stablecoin” TerraUSD (UST) has the support of 85 million community votes. In a proposal opened to the Terra (LUNA) community on Wednesday, more than 91% of votes at the time of publication were in favor of “rebirthing” the Terra network — roughly 85 million out of 93 million, with up to 284 million votes yet to be cast. The proposal needs roughly 188 million votes in favor to pass before the window closes on May 25.…

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