Terra co-founder Do Kwon on Thursday blamed former FTX CEO Sam Bankman-Fried and Genesis for the Terra-LUNA disaster. He strongly believes that Genesis Trading offered $1 billion in TerraUSD (UST) stablecoin to Sam Bankman-Fried or Alameda earlier than the UST depeg.
The assertion comes as federal prosecutors investigating the FTX disaster and its relation to Alameda Research begin a market manipulation inquiry into whether or not FTX and Alameda led to the Terra-LUNA disaster.
Terra’s Do Kwon Wants SBF and Genesis to Reveal the Truth
Terra founder Do Kwon in a series of tweets on December 8 reveals how Sam Bankman-Fried’s FTX, hedge fund Alameda, and Genesis Trading brought on the collapse of TerraUSD (UST) stablecoin and Terra (LUNA).
Do Kwon asserts Genesis Trading bought billions in UST from Luna Foundation Guard (LFG) and transferred it to FTX or Alameda earlier than the USD depeg. SBF used the funds to control the costs to learn entities together with FTX and Alameda Research.
“I think the time has come for Genesis Trading to reveal if they provided the $1B UST shortly before the crash to SBF or Alameda – the purchase from LFG was represented as stemming from “interest to participate in the Terra Defi ecosystem” – to not present ammo for a peg assault.”
Do Kwon additionally questioned why Alameda borrowed over $1 billion in Bitcoin from Voyager through the UST depeg. Also, Alameda requested different giant corporations to borrow extra Bitcoin, roughly $10 billion. He needs SBF to disclose the reality behind these giant transactions. He believes Sam Bankman-Fried’s cryptocurrency buying and selling agency Alameda positioned a giant wager on the value of Terra (LUNA) falling.
In addition, he reveals that Alameda was behind the “large currency contraction that UST went through in Feb 2021.” Alameda offered 500 million in UST in minutes to empty the Curve liquidity swimming pools through the Magic Internet Money (MIM) disaster.
“What’s done in darkness will come to light.”
Prosecutors Investigate SBF Over Market Manipulation
U.S. federal prosecutors investigating the FTX disaster and its relation to Alameda Research, have began an inquiry into whether or not SBF was behind the collapse of TerraUSD (UST) and Terra (LUNA) crash.
SBF misappropriated billions of dollars in buyer funds together with his hedge fund Alameda. The promote orders for TerraUSD through the crash had been coming from Alameda.
Also Read: Terra Rebels Transfers Terra Station Support To TerraCVita
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