A bitcoin streamer, Chancers began investing in cryptocurrencies in 2017 and claims that the value of Bitcoin and other digital currency increased throughout the previous five years, leading to his financial success. He was in the top 1% in Korea in terms of financial situation. However, the crypto crash has landed him in trouble.
What is the case of Terra Luna?
Fortunes can be gained and lost quickly in the speculative world of cryptocurrencies, but the experience of the South Korean man Chancers has been particularly traumatic due to the May 2022 cryptocrash. He told the BBC that the crash has put him in problems. He lost a lot of money within a short amount of time – around $2.4 million in cryptocurrency, and felt as if he was going to die. But worse was yet to come.
Chancers had put $800,000 of his money into a digital currency called Terra Luna – at the worst possible time. TerraUSD is a so-called “stablecoin,” a cryptocurrency token whose value is meant to remain relatively stable. Stablecoin developers work to keep their currencies at parity with other assets, like the US dollar, so that one token, for instance, is worth $1.
When the value of each coin began to increase in December 2021, from $5 to a high of $116 in April of this year, Terra Luna gained popularity. Like many others, Chancers placed a substantial wager on the coin’s future price growth. On May 9, however, it abruptly plummeted, losing all of its worth in just 48 hours.
At the epicentre of the commotion is a man named Do Kwon, who created the Terra system upon which both coins were based. He is renowned for being news media shy. Since the collapse of his Terra coins, Do Kwon has not been interviewed by the media.
Upset over Mr. Kwon’s lack of communication, Chancers looked up the cryptocurrency millionaire’s house address online, which led him to Seoul. He wanted to know what Kwon had in mind for Luna, and having lost a lot of money, he needed to speak with the man right away. But upon his mere entry to Kwon’s property and questioning about his whereabouts, the local police arrested him. Chancers feels that he has a bleak future ahead.
Like him, people who lost their entire life savings are now pleading for assistance all across the world.
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