South Korea held parliamentary hearings on the fall of UST and LUNA

by in Cryptocurrency News

Terra

Against the backdrop of the collapse of the digital assets of UST and LUNA, parliamentary hearings were organized in South Korea by one of the political parties. According to reports, the “event” was also directly attended by the co-founder of the Terra project Do Kwon.

This was reported by Rep. Yun Chang-Hyun, who noted that the fall in the value of LUNA and the UST algometric stablecoin greatly “stirred up” the entire financial sector, making the Terra project the most talked about in the crypto space. Chang-Hyun added that the parliamentary hearings were devoted to the reasons for the collapse of the Terra blockchain, as well as a discussion of possible “way outs” from the current situation. By the way, as it became known, the Conservative Party of South Korea became the initiator of the "meeting".

According to reports, in addition to Kwon, the National Assembly for Political Affairs invited the leaders of many cryptocurrency exchanges to participate in the meeting.

“Against the backdrop of everything that happened, the most important question is how the behavior of trading platforms will be built in the short term because they also faced the negative consequences of the collapse of Terra,” said Chang-Hyun.

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According to the man, the current situation requires the immediate intervention of the authorities, which, by uniting the regulatory agencies, should improve the regulatory framework to protect investors from such enormous losses as happened with the holders of LUNA and UST.

“Now we can only watch how the largest exchanges in our region stop trading in the above assets, not giving them a chance to be rehabilitated. Coinone, Korbit, and Gopax stopped trading on May 10, Bithumb on May 11, and Upbit on May 13,” the member of the House of Representatives added.

As part of the meeting, Chang-Hyun proposed to involve in the National Assembly one of the representatives of the exchanges and the co-founder of Terra, Do Kwon, directly. The South Korean authorities have concluded that it is necessary to create a special working group, which will urgently have to develop a strategy to protect traders from such situations with its further inclusion in the legislation regulating the crypto industry.