The dramatic drop of Terra (LUNA) along with the UST algorithmic stablecoin has been a major talking point among the cryptocurrency industry. And now South Korea’s conservative party has requested a parliamentary hearing on the matter.
Korea’s conservative party requested to have a hearing about the Terra incident. The politician noted Korean exchanges each reacted differently to the crash. He wanted to invite both Do and the exchanges to learn more details. https://t.co/3ezNlTFzzP
— Doo | StableNode @Permissionless (@DooWanNam) May 17, 2022
The Conservative Party of Korea has requested a hearing on the Terra incident. The politician noted that Korean exchanges reacted differently to the crash. He wanted to invite both Do and the exchanges to find out more details.
According to a local news, Korean exchanges responded differently to the crash, with the National Assembly Political Affairs Committee summoning Terraform Labs co-founder Do Kwon for a parliamentary hearing on the matter on Tuesday.. Committee representative Yoon Chang-Hyeon of People’s Power said:
“There is a part that raises questions about the behavior of exchanges during the crash.” “Coinone, Korbit and Gopax stopped trading on May 10, Bithumb stopped trading daily on May 11, but Upbit didn’t stop trading until May 13.”
He noted that “as legislation is delayed, investor losses mount” and “that authorities continue to see investors’ huge losses and are powerless to protect them.” MP Yoon suggested that:
“We should bring officials from related exchanges, including Terra CEO Kwon Do, to the National Assembly for a hearing on the cause of the situation and measures to protect investors.”
Following the historic deletion of his algorithmic currency, UST, and the subsequent death spiral that plummeted LUNA tokens to virtually nothing, Kwon has come up with a plan to save the ecosystem.
Kwon yesterday suggested that the Terra ecosystem branch off into two chains, with the current network known as “Terra Classic” (LUNAC) and the new chain known as “Terra” (LUNA).
Both chains will coexist, but the old tokens will be renamed LUNAC while the new ones will be known as LUNA, according to Kwon. The launch of the new chain will require the Terra developers to deliver the new LUNA tokens to the holders of the old LUNAC and UST.as well as the developers after the implementation of the plan, Kwon added.
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