During a recent interview with The Wall Street Journal (WSJ), Terraform Labs (TFL) founder Do Kwon said he was “devastated” by the implosion of LUNA and UST that took place at the mid-May. He told the WSJ he was likely a billionaire when LUNA hit an all-time high before the collapse, but lost much of his net worth after the aftermath.
Do Kwon talks about the collapse of Terra LUNA
Do Kwon recently discussed the LUNA and UST spinoffs during an interview with WSJ contributors Alexander Osipovich and Jiyoung Sohn. The interview was released on June 22 and is the first interview Kwon has done since Terra’s collapse. Kwon told reporters that he lost most of his wealth after the crash, but he didn’t mind that much. “I don’t mind,” Kwon told reporters. “I live a pretty frugal life,” the Terra co-founder said.
Kwon, however, said he was sorry for the losses investors suffered from the fallout. “I have been devastated by recent events and hope all families who have been affected take care of themselves and those they love,” Kwon said in the interview. He also discussed his confidence which many described as arrogant, and noted that it was because he strongly believed in the Terra ecosystem. kwan said:
I made confident bets and made confident statements on behalf of UST because I believed in its resilience and value proposition. Adding that he said, “I have since lost those bets, but my actions match my words 100 per cent. There is a difference between failing and committing fraud.
Kwon has “great confidence” in Terra’s “ability to build back even stronger”
Additionally, Kwon discussed the new Terra blockchain and LUNA 2.0, which is down 90% from the all-time high of $18.87 per unit and is now trading at $1.88. LUNA 2.0 has a market cap of around $238 million on June 23 and the token has lost 2.6% in the past 24 hours. Kwon thinks the revival will be strong and thinks LUNA 2.0 may one day surpass the classic LUNA Channel (LUNC).
“I have great confidence in our ability to rebuild even stronger than we once were,” Kwon told WSJ reporters. Kwon’s interview with the WSJ follows reports that the United States Securities and Exchange Commission (SEC) was investigating Terraform Labs and the collapse of UST. Additionally, a whistleblower called Fatman accused Kwon of having huge amounts of LUNA in personal wallets.
Fatman also accused Kwon of cashing in $2.7 billion before the project collapsed, but the Terra co-founder denies cashing in and he said the allegations were false. Kwon and Terraform Labs are also being sued in a class action lawsuit that claims the co-founder and company misled investors. Additionally, official records indicate that Do Kwon dissolved Terraform Labs Korea prior to the collapse of LUNA and UST. Three members of Terraform Labs’ internal legal team have also left the company amid the controversy.
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