Ever since Terra's epic crash, there has been no shortage of leaks, rumors, and conspiracies on how it really collapsed and who is to blame?
Sometimes it is just the normal "finger-pointing" that follows any fail, other times there has been evidence of massive shady activities behind the scenes...In both cases, the Terra community is still suffering a lot and nothing seems to lessen their pain...
In this post, I'd just like to walk through some of the controversial stuff and ask you guys about your thoughts on Terra 2.0 future...
Investigations, accusations, and allegations...
Last week, South Korean authorities were investigating employees of Terraform Labs, the parent company behind the Terra ecosystem, who allegedly stole some of the BTC stored in LFG's reserves and withdraw it for themselves. Authorities managed to freeze the stolen funds until the investigation is complete but whether the alleged rumors are true remains to be seen...
In the main time Do Kwon, the founder of Terra, is being investigated by the SEC for "selling unregistered securities" in the united states
To top it all off, a well-known member of the Terra community called "Fatman" has dedicated himself to filing "class-action lawsuits" against major exchanges that supported LUNA/UST prior to the crash such as Binance, Coinbase, Gemini, and Kraken... effectively all major exchanges out there... Well, in my humble opinion, exchanges have no fault for what happened, and attacking them publically will just harm crypto's reputation in the eyes of the media but again, the tension in the Terra community is still high, and there are likely some investors who just want retribution
Is it $80 million or $2,7 billion?
Another “big elephant” in the room is the claim that DoKwon pulled $80 million worth of BTC from the company's wallets a few months before the catastrophic crash. However, this 'big elephant' pales in comparison to other allegations that Do used a cunning Defi strategy to cash out over $2.7 billion, which Do denied in a series of follow-up tweets...
Do you trust Do anymore?
For me, I wish I could say yes. But the bitter truth is that it's very hard to imagine VCs, retail investors, and people throwing their hard-earned money into a V2 for a project whose V1 has gone to the toilet, to say the least. I think it no longer really matters whether the above allegations and accusations are true or not, the reputation is already doomed and corrupted. Luna 2.0 is already down 80% and it's hard to say that the upcoming future will be any better.
Yes, there is a great community and developers who might be able to lift Terra out of the rubble, but I guess some of the old faces have to step aside if this project is to recover. Even if DoKwon is innocent of what he's accused of, I believe it's his duty to get away a bit and allow the community to move forward in a drama-free environment...
What do you guys think?
I'm keen to hear your opinions and thoughts...
PS, Unless otherwise stated, all images in this post are either my own design or from free photo-sharing sites (e.g. pixabay.com)