This week two US officials had a meeting with the South Korean Justice Minister to share information about the Terra crypto project collapse.
Terra blockchain was launched by Terraform Labs, a developer team founded by Korean person Do Kwon. In May of this year, Terra blockchain’s two native Token Luna & UST coins crashed badly due to the interconnected liquidity of both coins. In short, we can say that a bad business model and bad team management resulted in the collapse of the Terra ecosystem.
On 6 July, Han Dong-hoon, South Korean Justice Minister, had a meeting with two U.S. officials during a visit to New York. In the meeting, Scott Hartman and Andrea M. Griswold, chief and co-chief of the U.S. Securities and Commodities Task Force.
Reports noted that these government officials shared all the information that they collected during their investigation in the case of Terra.
In this case, Korean agencies are seeking to pursue fraud charges against the Terra founder Kwon & team. On the other hand, the U.S. SEC agency is trying to figure out whether TerraUSD’s marketing approach broke investor-protection regulations. In this way, both the parties shared information, to bring better action against the actors, who were actually responsible behind the downfall of the Terra ecosystem.
The team behind Terra blockchain launched a new Terra blockchain Network with only one native coin Luna (called Luna2.0). Initially, the new Luna coin was launched at $14 but the coin failed to grab trust among the investors. At the time of writing this article, the price of the new Luna coin is $2.14, which is very small price over its all-time high.
On the other hand, Terra’s stablecoin UST is revolving at a price value of $0.049.