The Luna Basis Guard, the group chargeable for the Terra ecosystem led by Do Kwon, has launched info concerning its lacking reserve funds.
The crypto business has been asking the place the Bitcoin and different belongings went since they moved over 80,000 BTC to change wallets final week. LFG confirmed that on Could 7, it held the next reserves to assist the UST peg to the greenback.
· 80,394 BTC
· 39,914 BNB
· 26,281,671 USDT
· 23,555,590 USDC
· 1,973,554 AVAX
· 697,344 UST
· 1,691,261 LUNA
LFG mentioned it started executing swaps on-chain, changing Bitcoin to UST in “massive measurement & on quick discover” on Could 8. Roughly $50 million USDC and USDT had been offered for UST, together with $1.5 billion in BTC.
5,313 BTC value roughly $160 million, which was not offered, has additionally been returned to its reserve.
On Could 10, LFG executed a swap after UST dropped 25% and:
“Offered 33,206 $BTC for an combination 1,164,018,521 $UST.”
It calculates to a Bitcoin value of $35,504. On Could 10, Bitcoin was buying and selling at $30,000, that means LFG paid a 25% premium, which ties into the drop in UST value to $0.75. Moreover, on Could 12, LFG transformed roughly $890 million UST into LUNA at a median value of $3.99 per coin.
“On Could 12, LFG swapped 883,525,674 $UST to 221,021,746 $LUNA & staked this throughout a variety of validators to guard in opposition to a potential governance assault as the quantity of $LUNA continued to extend. All transactions described above have now been accomplished.”
LUNA remains to be tradable on a number of exchanges, together with Binance. At in the present day’s value, the 221 million LUNA, which price LFG over $882 million, is now value $40,200. The present LFG reserves are outlined beneath. On Could 7, the entire worth of their reserves was value tens of billions of {dollars}. Right this moment, the market worth is roughly $300 million.
· 313 $BTC
· 39,914 $BNB
· 1,973,554 $AVAX
· 1,847,079,725 $UST
· 222,713,007 $LUNA (of which 221,021,746 is at present staked with validators)
It has introduced that these reserves will probably be distributed to UST holders as compensation with “smallest holders first.”
But, again it reveals their plan earlier than executing, which has resulted within the markets promoting off their present belongings. Publicizing a plan to launch hundreds of thousands of {dollars} value of tokens and cash which might be already down 99% led to an instantaneous drop in each LUNA and UST.
UST fell 40%, and LUNA was down 22% as quickly because the tweet went stay.
