May 11, 2022
Do Kwon addressing the Terra community said he is resolved to work with everyone to avert the crisis.
Currently, UST is trading at 50 cents, a significant deviation from its intended peg at $1.
Kwon noted that the price stabilization mechanism is absorbing over 10% of UST’s supply.
Terra (LUNA) is down nearly 90% in the last 24 hours, trading at just below $3.
Terra’s stablecoin is exchanging hands at below $0.50. Kwon suggested some remedies to control the ongoing damage.
Kwon concluded by saying they will continue to explore various options to bring in more exogenous capital and reduce supply overhang on UST.
Crypto community is still skeptical of Do Kwon as they asked what is stopping this from happening again.