Terraform Labs co-founder and CEO Do Kwon broke his social media silence early Friday evening with a trio of tweets about the collapse of Terra's LUNA token and associated stablecoin, UST.
1/ I’ve spent the last few days on the phone calling Terra community members – builders, community members, employees, friends and family, that have been devastated by UST depegging.— Do Kwon 🌕 (@stablekwon) May 13, 2022
I am heartbroken about the pain my invention has brought on all of you.
2/ I still believe that decentralized economies deserve decentralized money – but it is clear that $UST in its current form will not be that money.— Do Kwon 🌕 (@stablekwon) May 13, 2022
3/ Neither I nor any institutions that I am affiliated with profited in any way from this incident. I sold no luna nor ust during the crisis.— Do Kwon 🌕 (@stablekwon) May 13, 2022
The statements came hours after Kwon floated a proposal via a Terra discussion forum to essentially restart the network with 1 billion tokens distributed to impacted holders and users.
As The Block has covered in the past week, the paired meltdown of the algorithmic stablecoin UST and Terra's native LUNA asset resulted in steep losses for those exposed to the market. The resulting chaos ultimately led to blockchain stoppages and market trading halts as the circulating supply of LUNA skyrocketed.
Earlier Friday, Terra devs said that a post-mortem report detailing the events of the last week was being assembled. "The strength of the #LUNAtics has been amazing. More to come," that post said.