During a recent interview with The Wall Street Journal (WSJ), Terraform Labs (TFL) founder Do Kwon said he was “devastated” by the LUNA and UST explosion that occurred in mid-May. He told the Wall Street Journal that he may have been a billionaire when LUNA hit an all-time high before the crash, but that he lost a significant portion of his net worth in the aftermath.
Do Kwon talks about the collapse of Tira Luna
Do Kwon recently discussed the implications of LUNA and UST during an interview with WSJ shareholders Alexander Osipovich and Jiyoung Sohn. Published on June 22, the interview was Kwon’s first since Tira’s collapse. Kwon told reporters that he lost most of his fortune after the accident but that doesn’t bother him too much. “It doesn’t bother me,” Kwon told reporters. “I lead a fairly economical life,” Terra co-founder said.
However, Kwon lamented the losses incurred by investors from the fallout. Kwon stated in the interview, “I am devastated by the recent events and I hope all the families affected will take care of themselves and their loved ones.” He also discussed his confidence, which many described as arrogant, and noted that he was a staunch believer in the Terra ecosystem. Kwon said:
I made confident bets and made confident statements on behalf of the floor cabinets because I believe in their resilience and value proposition.” He added, “I have since lost those bets, but my actions match 100% of my words.” There is a difference between failure and fraud.
Kwon has ‘great confidence’ in ‘Terra’s ability to rebuild even stronger’
Moreover, Kwon discussed the new Terra blockchain and LUNA 2.0 which is down 90% from all-time $18.87 per unit and is now trading for $1.88. LUNA 2.0 has a market cap of around $238 million on June 23 and the token has lost 2.6% over the past 24 hours. Kwon believes the revival will be strong and believes LUNA 2.0 could one day surpass the classic LUNA series (LUNC).
“I have great confidence in our ability to rebuild stronger than we were before,” Kwon told Wall Street Journal reporters. Kwon’s interview in the Wall Street Journal comes on the heels of reports that the US Securities and Exchange Commission (SEC) was investigating Terraform Labs and the collapse of underground tanks. Furthermore, a whistleblower named Fatman accused Kwon of keeping massive amounts of LUNA in his personal wallets.
Fatman also accused Kwon of spending $2.7 billion in money before the project collapsed, but Terra’s co-founder denied he spent his money and said the allegations were false. Kwon and Terraform Labs are also being sued in a class action lawsuit alleging that the co-founder and company misled investors. In addition, official records indicate that Do Kwon dissolved Terraform Labs Korea prior to the collapse of LUNA and UST. Three members of Terraform Labs’ internal legal team have left the company amid controversy as well.
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