HomeCryptocurrencySouth Korea launches investigation into Terraform Labs over LUNA coin

South Korea launches investigation into Terraform Labs over LUNA coin

The cryptocurrency LUNA, previously known as the “stable coin”, crashed and its value plummeted by 98% within 24 hours, shocking the global cryptocurrency market. South Korea has also officially launched an investigation into Terraform Labs behind it.

The Seoul Metropolitan Police in South Korea said recently that they have opened an investigation into allegations that an employee of Terraform Labs misappropriated undisclosed amounts of Bitcoin held by the company.

They investigated two collective complaints on behalf of a total of 81 investors alleging that the algorithm deceived investors back in late May, and are now investigating the company further. The investigation will be carried out by a financial crime task force headed by South Korea’s justice minister.

Terraform Labs co-founder Daniel Shin denied investors’ allegations of fraud and financial regulation violations, explaining that they had no intention of deceiving, but just wanted to use blockchain technology to innovate payment and settlement systems. flaws, and no attempt to manipulate prices.

Cryptocurrency investment is very popular in South Korea, so this incident also caused many retail investors to lose their money. Although LUNA later carried out a “hard fork” to launch a new currency, the price of the new LUNA currency fell by more than 80% after 2 weeks of trading

Read more here: 

Image Source: Unsplash

Mehmet S. Kaya
Mehmet S. Kayahttps://teknonel.com
Mehmet is one of the administrator of Teknonel. As a software developer, he loves to share his knowledge in related topics. He is highly familiar with the editorial process from the inception of an article idea, through the iterative process, publishing, and performance analysis as well as product reviews.

Follow us on Social Media!


Related Articles

Twitter reportedly developing a cryptocurrency wallet System

Twitter continues to move toward Web3, and software developers say they are already testing an e-wallet based on the Web3 concept that Twitter users...

Binance’s BNB Chain bridge was hacked: $718 million lose is calculated

The BNB Chain developed by the cryptocurrency exchange Binance was hacked in the early morning of the 7th! The official cross-chain bridge (BSC Token...

Microstrategy is not afraid of bear market and buys 301 Bitcoins

Long-term optimistic about Bitcoin's micro-strategy, he entered the market again to buy 301 BTC, with a total investment of about 6 million US dollars,...

Hackers use Deepfake to impersonate Binance executives’ faces for cryptocurrency scams

A Binance executive pointed out that the hacker group used Deepfake (deep fake technology) to create an AI holographic projection like his face, and...

Explore More Articles

Proofing Your World 8 Best Strategies for Ultimate Technology Security-min

Proofing Your World: 8 Best Strategies for Ultimate Technology Security

Expanding the size of the attack surface inevitably amplifies the risk of cybersecurity breaches. Consequently, reducing the attack surface logically diminishes cybersecurity risk. It...
OpenAI Will there be GPT-5

OpenAI’s first developer conference: Will there be GPT-5?

OpenAI will hold its first developer conference, OpenAI DevDay, on November 6, two months later. During the full-day event, the OpenAI team will lead...
Starfield How to Store items in your Ship-min

Starfield: How to Store items in your Ship?

Starfield's massive open-world comes with unlimited items to farm and collect. However, it might be little bit annoying to over encumber time to time....
Starfield How to upgrade Ship Weapons-min

Starfield: How to upgrade Ship Weapons?

Within Starfield you can actually purchase upgrade or fully build your own spaceship via modules. The thing is that, a lot of this isn't...