The Luna Foundation has responded to claims that 42 thousand Bitcoin (BTC) has been sold.
With the UST stablecoin on the Terra blockchain falling below $1, it was claimed that Bitcoins purchased to support stablecoin reserves were sold.
More than 42 thousand Bitcoins in the Luna Foundation’s reserve were transferred to another wallet. Allegedly, the foundation sold its Bitcoins to keep the UST pegged at $1.
The Luna Foundation responded to these allegations on its Twitter account.
Below is the new LFG $BTC wallet address: https://t.co/9t0NX3VEMI
Last clip withdrawn by the LFG was ~37K BTC. Similar to the last deployment, it has been loaned to MMs.
Very little of the recent clip has been spent but is currently being used to buy $UST.
Updates coming.
— LFG | Luna Foundation Guard (@LFG_org) May 9, 2022
According to the statement, the foundation pulled 37 thousand Bitcoins and lent them to market makers. It was emphasized that a very small part of the withdrawn Bitcoins were sold and continued to be used to buy UST. The foundation also stated that more information will be provided on the subject.
