THELOGICALINDIAN - The Luna Foundation Guard has said that it spent about all of its Bitcoin in a bootless attack to avert USTs peg
The Luna Foundation Guard appear aboriginal Monday in a cheep storm that it had awash off about its absolute Bitcoin assets in the bootless attack to anticipate the accident of its built-in babyminding badge LUNA and flagship stablecoin UST.
LFG Says Its Bitcoin Reserves Are Gone
The Luna Foundation Guard has assuredly appear what happened to its $3 billion Bitcoin reserve.
LFG, a nonprofit alignment tasked with attention the dollar peg of Terra’s UST stablecoin, appear aboriginal Monday in a cheep storm that it had spent about all of its Bitcoin affluence in an attack to assure UST’s peg. The foundation said that on May 7, or one day afore UST began to de-peg from its targeted $1 parity, it had 80,394 Bitcoin (its better captivation account about $3 billion at the time), forth with about 26.2 actor USDT, 23.5 actor USDC, 1.9 actor AVAX, 1.6 actor LUNA, and 697,344 UST.
After UST began de-pegging on May 8, LFG accepted to affairs all of its USDT and USDC affluence for an accumulated of 50,200,071 UST and transferred 52,189 Bitcoin to barter with a counterparty for 1,515,689,462 UST. After its accomplishments had bootless to balance the system, on May 10, LFG exchanged an added 33,206 Bitcoin for 1,164,018,521 UST in a last-ditch accomplishment to avert the stablecoin’s peg.
According to the Foundation, this larboard it with alone 313 Bitcoin account about $9.2 actor at accepted prices, about $11,7 actor account of BNB, $63,29 actor account of Avalanche, and an balance of LUNA and UST tokens account about annihilation at accepted prices. In total, LFG’s affluence are currently account about $81 million, decidedly bottomward from the $4.1 billion they were account at their height on May 3.
LFG said it was attractive to use its actual assets “to atone actual users of $UST,” with the aboriginal holders actuality aboriginal in line. “We are still debating through assorted administration methods,” the Foundation said, announcement that updates would chase soon.
The Monday address from LFG comes afterwards the alignment came beneath abundant blaze on Twitter for the opaqueness of how it handled its reserves, with abounding in the crypto association apprehensive area $3 billion account of Bitcoin went during Terra’s ecosystem-wide crash.
UST, which was already trading for pennies on the dollar, has plummeted by about 15% on the news, while LUNA has biconcave about 3.6% afterward the advertisement while trading 34% bottomward on the day.
Disclosure: At the time of writing, the columnist of this allotment endemic ETH and several added cryptocurrencies.
