Terra Founder Do Kwon arrest warrant has been issued by a court in South Korea. The move came as shocking to the crypto market followers as such an update was not expected after the recent surge of Terra Ecosystem cryptos. However, some did expect such a thing to happen due to the fact that the Terra crash had defied certain regulations that had to be followed. We have mentioned that in detail below.
Reason For The Do Kwon Arrest Warrant Issue
The latest crypto news concerning Do Kwon was originally reported by Bloomberg where the intricate details of the matter had been mentioned. The report notes that the Terra crash had also led the ecosystem’s stablecoin, TerraUSD (UST) to slump by over 99%. This was against the rules of a stablecoin that has been pegged on the U.S. dollar. Such volatility is not expected from this kind of cryptocurrency.
The Terra ecosystem collapse had spurred a ‘ripple effect’ on the entire market that was the reason for major losses for the participants in the sector. Several companies that had invested in these currencies also faced significant damages. In addition, the wrath of crypto winter was faced by crypto exchanges and lenders. The most notable has to be Three Arrows Capital whose liquidation also led to Celsius’ bankruptcy. These events are enough for the South Korean authorities to take this step.
As reported by Crypto Venture News earlier, both the TerraClassicUSD (USTC) and Terra Classic (LUNC) the rebranded versions of TerraUSD (UST) and Terra (LUNA) respectively had been surging. Both the cryptos managed to gain more than 50% in a week, which was eyed by numerous crypto investors. However, this ‘pump and dump’ scheme had already been witnessed during the Terra crash. Therefore, the regulators in South Korea might have wanted to monitor this issue before it gets worse. Moreover, both cryptos have plunged over 15% in the trading session today, supporting the action.
TerraClassicUSD Price Today
The TerraClassicUSD CoinMarketCap page showed that the USTC crypto was up by 19.25% and traded at $0.03553 at the time of writing on Wednesday, September 14, 2022. The market cap of the coin stood at $348.50 billion, up by 19.45%. In contrast to the slump, the 24-hour trade volume of the crypto surged by 48.02% to $120.77 billion.
Terra Classic Price Today
The Terra Classic CoinMarketCap page showed that the LUNC crypto was up by 12.39% and traded at $0.0002946 at the time of writing on Wednesday, September 14, 2022. The market cap of the token stood at $1.8 billion, up by 12.39%. However, the 24-hour trade volume of the crypto surged by 20.43% to $1.78 billion. The day’s high was recorded at $0.0003854, which was much lower than the month-high for LUNC which was recorded at $0.0005482.
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