LUNA, UST Move Closer to Zero, as Do Kwon Asks Holders to ‘Stay Strong’

Do Kwon has urged holders of LUNA to “keep robust,” as the value strikes ever nearer to zero. Following the UST stablecoin dropping parity with USD, costs have plunged, falling to a brand new low this morning.

LUNA, UST Tumble Toward Zero

As of writing, LUNA/USD is buying and selling at $5.45, which is marginally larger than its earlier low of $4.21.

To put issues in perspective, costs are down almost 90% from yesterday’s peak of $34.28, and solely seven days faraway from it buying and selling at a excessive of $88.40.

Following a quick rally within the aftermath of it dropping greenback parity, UST additionally moved in the direction of zero, hitting a backside of $0.2998 earlier at the moment.

This got here lower than 24 hours after it was buying and selling at $0.9486, nonetheless markets panicked at an absence of communication from LUNA founder Do Kwon, who was stated to be engaged on a “restoration plan.”

Although some are nonetheless assured within the premise of algorithmic stablecoins, it’s but to be seen if UST will survive lengthy sufficient to be part of any future developments.

Kwon lastly supplied a extra substantial update to the Terra group only recently, noting:

I perceive the final 72 hours have been extraordinarily powerful on all of you – know that I’m resolved to work with each one in every of you to climate this disaster, and we’ll construct our method out of this.

The LUNA founder stated of UST that “Before the rest, the one path ahead can be to soak up the stablecoin provide that wishes to exit earlier than UST can begin to repeg.” Kwon then supplied some technical prospects for reducing “the provision overhang of UST.”

Do you assume LUNA and UST can come again after confidence has been shaken by this large crash? Let us know within the feedback part under.