The Korean Financial Supervisory Service (FSS) has announced that it will standardize the way virtual asset risk is assessed.
According to a local news report, this is because it is currently difficult to protect investors due to the multiple ways of measuring risk for each virtual asset exchange. While efforts to standardize FSS are still in their infancy, once a legal framework for virtual assets is established, it would be expected that a uniform valuation system could be implemented for all exchanges.
On Wednesday, Doo Wan Nam, COO of Stablenode, tweeted that there was a meeting in the Korean National Assembly building with representatives of Korean exchanges and authorities regarding Tera Luna and UST issues. According to Do, the exchanges said that the situation is undesirable and they will do everything possible to protect traders on their platforms.
So a meeting with heads of Korean exchanges and politicians took place in the building of the Korean National Assembly. $luna $UST incident.
The exchanges said that what is happening with the incident is unfortunate and will work to protect traders on their platforms. pic.twitter.com/Tubv4as95X
– do StableNode @Lisbon (@DooWanNam) 25 May 2022
The HeraldCorp reported Wednesday that TerraForm Labs cofounder Do Kwon has approached five South Korean exchanges to relist when LUNA 2.0 goes live. However, because LUNA is now under scrutiny following its failure, several other platforms in South Korea have remained in the clear except Upbit.
CEO Kwon’s ‘Terra Ecosystem Restoration Plan’ is a plan to create new coins and give them to investors who have lost money. CEO Kwon tweeted on May 18, “Let’s call the existing Terra Blockchain network ‘Terra Classic’ and the current Luna Blockchain, ‘Luna Classic’ and create a new Terra Blockchain.”
The majority of the community, or 65.5%, supported Kwon’s plan. Only 13.2% opposed the fork vote. About 20% of the respondents refrained from voting. On Friday, Terra 2.0 is expected to go live on the mainnet based on the information in the proposal. After this launch, LUNA 2.0 coins will be able to be traded. At a pre-determined ratio, new tokens will be circulated to existing stakeholders in the network. However, most coins will go through a vesting period.
A plan to relaunch the Terra blockchain and create the LUNA 2.0 token has been approved by on-chain voters. This will lead to the development of a new blockchain that will airdrop tokens in proportion to those affected by the sudden collapse of the UST algorithmic stablecoin.
related: Exchanges Show Early Support for Terra Revival by Listing New LUNA Token
Terra’s controversial $40 billion meltdown has been the subject of much debate in the Korean and global crypto community. As reported by Cointelegraph, Korean exchanges handled the collapse in different ways, with the National Assembly’s Political Affairs Committee convening Terraform Labs co-founder Do Kwon for a parliamentary hearing regarding the issue.
Now, the outspoken 30-year-old South Korean, who often calls his critics “poor”, is being called out for explaining this month’s crash of a $40 billion project he has ever called “the oldest and The most widely used algorithmic stablecoin”.
