Terra CEO reveals his role in the ecosystem collapse

In the interview, Do Kwon talked about investor losses, fraud allegations, and problems with law enforcement

15.08.2022 - 16:25

1816

2 min

What’s new? Do Kwon, founder of Terraform Labs (TFL), has given his first interview since the collapse of the Terra blockchain ecosystemin May 2022. In a yet-to-be aired Coinage Media conversation with host Zack Guzman, he talked about investor losses, fraud allegations, and law enforcement inspections. A teaser video appeared on Guzman's Twitter.

EXCLUSIVE: I sat down with Terra Founder @stablekwon for his first interview since the project’s $45 billion collapse Our 2-day conversation premieres only on the community-owned NFTV series @coinage_media. Episode 0 coming Mondaypic.twitter.com/9svfn9wBDn— Zack Guzmán (@zGuz) August 14, 2022

What does the interview say? The collapse of the $45 billion Terra project was a shock to the entire cryptocurrency market, from which the industry has yet to recover. The short video features excerpts from an interview where Kwon denies all allegations of fraud. He notes:

“I made confident bets and made confident statements on behalf of UST because I believed in its resilience and its value proposition. I’ve since lost these bets, but my actions 100% match my words. There is a difference between failing and running a fraud.”

Do Kwon mentioned that cryptocurrency is a kind of Wild West and explained that TerraUSD (UST) as an algorithmic stablecoin had been under a lot of pressure. There is a possibility that some TFL employees also participated in the interview.

In addition, Do Kwon stated that South Korean prosecutors have not yet contacted him about Terra. Both he and his company have serious legal problems in South Korea. Law enforcement authorities are still investigating, checking crypto exchanges, and accusing TFL of tax evasion and money laundering.

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