Binance CEO Changpang Zhao explained that he was dissatisfied with the way Terra handled the collapse of its native crypto asset LUNA and its stablecoin TerraUSD (UST).
A long in the thread Zhao told his six million Twitter followers that Binance reached out to the people behind Terra and offered suggestions on how to mitigate the crisis.
“While Binance has always aimed to be impartial, helpful and protective of all users and industry peers, we generally refrain from commenting on other projects, but this time I will break that rule.
I am very disappointed with how (or not) this UST/LUNA thing has been handled by the Terra team. We asked their team to restore the network, burn the overprinted LUNA, and recover the TerraUSD. So far we have not received any positive response.”
The famous CEO commended the efforts of the Axie Infinity team to combat the Ronin bridge hack.
Additionally, Binance has temporarily suspended trading LUNA and TerraUSD with the native stablecoin Binance USD (BUSD). Zhao explained the reasons that prompted the crypto exchange to stop trading LUNA and UST as follows:
“Some of our users, unaware of the large volumes of newly minted LUNA off the exchange, started buying LUNA again, not realizing that once deposits are allowed, the price will drop further. Due to these significant risks, we have suspended trading.”
Hours later, Binance decided to resume trading activities involving LUNA and UST. According to Zhao, this move allows its users to convert their LUNA or UST into other digital assets.
“I was in a meeting without a phone for two hours. At least there is progress. The LUNA blockchain continues, no more printing money. And deposits, withdrawals and trading resumed.”
You can check the price movements here.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, KoinFinans and the author of this content cannot be held responsible for personal investment decisions.