Do Kwon, the CEO of Terraform Labs, a cryptocurrency ecosystem which caused significant losses for investors when both its stablecoin TerraUSD and token Terra (LUNA) collapsed, has taken to Twitter to share his latest sentiments on the cryptocurrency market crash.
Notably, on June 18, Bitcoin fell below the crucial $20,000 support level; this meant that the price of the flagship digital asset reached its lowest level since December 2020.
He was sharing his thoughts on the market crash, which the Luna Foundation may have inadvertently contributed to when it sold Bitcoin in May to assist fund TerraUSD.
Kwon stated:
“Be the change you want to see. The last month for crypto has lessons that will power the rise of the next-gen of builders to great heights.”
Kwon discusses benefits of DeFi
What’s more, Kwon discussed the benefits of decentralized finance (DeFi), that believers in DefImust accept volatility as the cost of achieving authority over their lives and that these convictions should not be rendered void by the liquidations in the crypto market, he said:
“Decentralized finance and decentralized monies protest against state sponsored violence vs financial sovereignty. Volatility is a price believers pay to achieve that sovereignty. Liquidations should not invalidate those beliefs.”
He added:
“Create systems that are stronger and more resilient to those attacks. Rise to the challenge or capitulate – but be honest whether you are fighting for a sovereign future or for higher numbers. Crypto wins when there are more in the former camp than the latter.”
Terra’s impact on the market
Ultimately, many investors and traders that have been impacted by the collapse, will not be happy to hear Kwon’s latest thoughts on creating “systems that are stronger and more resilient to those attacks.”
Indeed, before the crash, there were a few in the cryptocurrency sector who expressed concerns about the stability of TerraUSD and its need for traders to operate as its backup. However, the chief technology officer (CTO) of Tether (USDT) said that it was a recipe for disaster:
“To have a safe reserve, you cannot have cryptocurrencies, especially 100% cryptocurrencies. These guys were creating two things, one their own cryptocurrency called LUNA, and a stablecoin on top of that cryptocurrency. That is a recipe for disaster.”
Add to that the fact that crypto hedge fund Three Arrows hired financial specialists to help it stay afloat after it was ‘taken off-guard by the unprecedented sell-off and that fresh research suggests that the collapse of Terra may have been the result of an inside job, and you have a lot of people in the business harboring resentment.
Featured image via Terra YouTube.
Source: https://finbold.com/do-kwon-says-be-the-change-you-want-to-see-after-terras-multi-billion-collapse/