Do Kwon: I think I should have known the risks of VAT much better

Do Kwon: I think I should have known the risks of VAT much better

do Kwon called his only child Luna, so he has more than just a professional interest in ensuring that the blockchain token of the same name is not only remembered as an epic failure.

The CEO of Terraform Labs (TFL), in An interview with Coinage Kwons first since the collapse, revealed some new details about the events of collapse, albeit, which is difficult to check, which is difficult to check are.

In a section of the interview published at the beginning of this week, he indicated that a leak in his own company was partly responsible for the destructive spiral of death of Terrausd (VAT). The latest edition extends this view and quotes certain information that only TFL employees should be known.

kwon said the time of the planned deduction of VAT liquidity from the main pool of the Curve of the stable coin was only known to TFL employees. The decline in liquidity made it easier for an attacker to bump the StableCoin on May 7th from its $ 1 bond.

He also announced that the entire management team was traveling to Singapore for meetings, which dampened the company's initial reaction.

"So there were probably some information flows that are not aware of it to this day," said Kwon.

What happened to the LFG money?

The fate of a massive supply that was applied to shorten the bar in an emergency - from the so -called Luna Foundation Guard (LFG) - was a topic of A lot of speculation .

The team initially underestimated the pace of VAT sales-"We weren't particularly concerned," said Kwon. But when the sheer volume of VAT, which was thrown into the order books, they felt forced to use the Bitcoin reserves of the LFG, according to Kwon, who denied that the funds were used to pay "whales"-large VAT pocket holder.

"I have no insight where you put the Bitcoin after LFG had settled at the Market Maker. But only with regard to how much VAT could buy back, it fits."

"And in relation to how to make OTC trades to pay whales: a) I don't think they would have done it, and b) Even if they would do something like that if these whales were not capable of [Wiadler’ve Sold]," said Kwon to Guzman, "regardless of how high the effective price of VAT is."

The future of Terra 2.0

kwon said that he intends to continue building and is nowhere to go. But the next incarnation of the Terra Blockchain will be more geared towards the community and will not be the focus of attention.

"I think the core of this community is still alive and I think you are prepared to launch interesting things on Terra 2.0, regardless of the things we do," said Kwon.

"I will always do things on Terra and for the Terra community, this is my home and I have the feeling that the most bright future is here and the majority of Terraform Labs is still there," he said.

The managers and his attendance team may have jumped, but Kwon claims that despite the crash, only two developers left the company.

He also checks options to drop additional funds for the victims of the VAT collapse by using the LFG reserves of 311 BTC (around $ 6.7 million) and part of the Avalanche-owned AVAX capacity that were not output during the crisis.

As soon as the VAT owners are properly posted, it is planned to liquidate the stocks of the LFG and "to start with the process to get small owners to maintain the airdrops".

"In retrospect, I think we should have been more skeptical"

kwon said that he was convinced that his idea would "simply work" and neglected the type of risk assessment according to which many critics shouted.

He even lost several bets at the future price of Luna with skeptics on Twitter, including 10 million dollar bet to the dealer named GigantiCrebirth.

"I think I should have known the risks of VAT much better ... I have just seen how it increases lindi gain more integrations, and it was just so many people In crypto technology in general inspired, the idea of ​​a decentralized stable coin, and I saw VAT as what was almost inevitable and was ready to become the money for all crypto. ”

At the same time, Kwon said that he could not blame anyone for it, who sold Luna empty and benefited from his case.

"You cannot look emotionally, do you not have to blame for people. You can't call people because of longing. But people just make these trades. The markets are passionate and move as they want."

emotional is the way to become "a shell of a man for several years," he said.

"But I plan to do really interesting work."

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The article Do Kwon: "I think I should have known the risks of VAT much better" is not a financial advice.