Crypto Updates

Was Terra Luna Death Spiral a Result of an Inside Job?

Was Terra Luna Death Spiral a Result of an Inside Job?

New research suggests one of the active wallets (dubbed ‘Wallet A’) may be linked to Terra Labs or the Luna Guard Foundation (LFG). Prior blockchain analytics study highlighted the 7 main wallets that contributed to the collapse of Terra Luna.

Jump Crypto released a postmortem analysis, detailing what occurred that led to UST de-pegging from the US Dollar. Other blockchain analytics platform analysis, suggest that Celsius may have been involved, is also available.

The most interesting part of the postmortem of Terra Luna is surrounding the mysterious ‘Wallet A’.

Wallet A Actions

“At 21:44 GMT, Terraform Labs (TFL) withdrew $150 million in UST liquidity. This made the Curve pool relatively balanced, but much smaller.

“At 21:57, a relatively-inactive account (‘Wallet A’) swapped $85 million UST for USDC in this pool. (This was the largest swap transaction in that particular Curve pool ever.) Such an action pushed the Curve pool out of balance again.

“Moreover, Wallet A had transferred $108 million in UST to Binance earlier in the day, and these transfers coincided with elevated trading volumes at Binance and the worsening  liquidity 

Click Here to Read the Full Original Article at CryptoCurrency – Finance Magnates | Financial and business news…