With huge losses in cryptocurrencies over the past 2 days, it has put many of the investors in a panic mood. The giant cryptocurrency exchange Binance announced that it has suspended the withdrawals of 2 large coins until a second announcement.
The stablecoin UST, which is in the Terra ecosystem and pegged to the US dollar, fell 40 percent against the dollar. The highest low since September last year required Binance to take different measures. But what about those 2 coins where the Binance exchange stops withdrawals? When will the shooting be done? Here are the details…
Binance has stopped shooting for Luna and UST coin!
UST, which was stable at an average price of $ 1, fell 40 percent to $ 0.60 levels. Terra Luna, on the other hand, experienced a 40 percent decrease in value. After Luna Foundation Guard transferred BTC to Binance, her balance was reset.
Twitter account WuBlockchain posted, “The Bitcoin address of Luna Foundation Guard (LFG) transferred 28,205.5 Bitcoins to Binance, and the balance of the address is now 0. The address transferred 42,530 bitcoins earlier today and then transferred 28,205 bitcoins.” said
With the massive liquidation of Terra’s native coin UST and Luna, LUNA slumped from $62.34 to $24.85 in a 24-hour period. Following these developments, Binance announced that it has stopped withdrawals.
In a statement made by Binance, “Binance: Withdrawals for LUNA and UST tokens on the Terra (LUNA) network have been temporarily suspended at 02:20 (UTC) on 2022-05-10 due to high volumes of pending withdrawals. This is due to network slowness and congestion.” it was said.
Explaining that it was temporarily suspended, Binance emphasized that the reason was network slowness and congestion. The tweet of the crypto money exchange, which announced that it has temporarily stopped the withdrawals from its official accounts, has passed the level of 3000 likes as of now.
Emphasizing that the suspensions are temporary, Binance said, “Binance will resume withdrawals for these tokens when the network stabilizes again and the number of pending withdrawals decreases. We will inform users in another announcement.” made the statement.
Facing a huge backlash from Twitter users, Binance allegedly protects the Terra ecosystem, the crypto community. We will see together how the crypto money exchange, which is facing criticism as a traditional financial system, will react after this move.
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