Terraform Labs’ legal team quit as UST collapsed

Terra’s legal team resigned as UST lost its dollar peg and collapsed, pushing the Luna token to zero, according to sources familiar with the matter.

As reported by the crypto publication The Block on Tuesday, some members of Terraform Labs’ legal team left as the crypto markets roiled from UST’s failure.

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The blockchain firm, the report notes, is currently working with an external counsel. The development was confirmed by a Terraform Labs spokesperson, who noted that indeed a number of legal team members no longer work with the Singapore-based crypto firm.

Those allegedly to have resigned include the company’s general counsel, chief corporate counsel and chief litigation and regulatory counsel.

The Terra collapse has dominated headlines across the crypto sector and remains so even as the blockchain firm’s co-founder and CEO Do Kwon revealed a new plan to try and save the cryptocurrency.

Kwon’s proposal to fork Luna and remove the algorithmic stablecoin that precipitated the crushing events will be put to a vote on 18 May.

It remains to be seen what happens next, though Kwon, who called UST’s de-pegging “Terra’s DAO attack moment”  has outlined a timeline to have the new Terra (LUNA) chain launched on 27 May.