The Luna Foundation said it will continue its efforts to compensate users for their losses.
With the collapse of the Terra ecosystem, the disastrous loss of parity of the algorithmic stablecoin TerraUSD with the US dollar caused the crypto industry to enter a major crisis.
The Luna Foundation Will Continue Its Efforts
With the collapse of the Terra ecosystem, both Terra developers and administrators faced a lot of hardship. Terra CEO Do Kwon, in particular, has been sanctioned by many regulators. There was even a red notice about him recently.
The Luna Foundation stated that they are working to compensate for the losses of users who lost their funds with the collapse.
The foundation cited ongoing and threatened lawsuits as reasons for delaying the distribution of assets to users. According to the statement, while legal problems continue, a timeline has not been prepared to solve this problem.
The Foundation, which had a reserve of more than $ 60 billion before the Terra ecosystem, now has only $ 105 million in reserves.
However, the investigation into Terraform Labs continues. South Korean authorities have arrested the company’s chief commercial operations officer. However, this arrest warrant was later revoked.
The country’s foreign ministry also demanded that Terraform Labs founder Do Kwon hand over his passport.
