wsj.com/amp/articles/do-kwons-crypto-empire-fell-in-a-40-billion-crash-hes-got-a-new-coin-for-you-11655914487

Madison Ketcham

Do Kwon’s Crypto Empire Fell in a $40 Billion Crash. He’s Got a New Coin for You. Luna’s relaunch might be the ultimate act of chutzpah by the South Korean entrepreneur

Do Kwon used swagger and a cultlike Twitter following to build a cryptocurrency empire that collapsed last month in a $40 billion crash. Now, despite angry investors, government investigations and a crypto-market downturn, the South Korean entrepreneur is attempting a comeback.

“I have great confidence in our ability to build back even stronger than we once were,” Mr. Kwon told The Wall Street Journal.

Mr....

Do Kwon used swagger and a cultlike Twitter following to build a cryptocurrency empire that collapsed last month in a $40 billion crash. Now, despite angry investors, government investigations and a crypto-market downturn, the South Korean entrepreneur is attempting a comeback.

“I have great confidence in our ability to build back even stronger than we once were,” Mr. Kwon told The Wall Street Journal.

Mr. Kwon has championed the launch of a new version of Terra, the blockchain network that underpinned the failed TerraUSD and Luna cryptocurrencies. TerraUSD was a so-called stablecoin designed to maintain its value at $1, but the coin is now valued at less than a penny. Its collapse triggered a plunge of more than 99% in Luna, the cryptocurrency that backed TerraUSD’s link to the dollar.

The implosion hurt thousands of investors world-wide, including many who put their savings in Anchor Protocol, a sort of crypto bank that offered high yields on TerraUSD deposits. The crash was also a foreshock to crypto-market carnage this month: a brutal selloff led lending platform Celsius Network to freeze all accounts, worth billions of dollars.

Since the TerraUSD crash, groups representing more than 90 people in South Korea have filed complaints against Mr. Kwon accusing him of fraud and illegal fundraising. A...

Tap to copy the Short Url to this post:
bto.sh/mniu6dhc 
One-Stop Business News. Free to Use →