The crypto winter has been harsh on both crypto companies, investors, and entrepreneurs. The unprecedented crash has scooped up $400 billion from leading currencies like Bitcoin and Ethereum. Investors who were speculating on the continuous upward trend of cryptos with all of their life savings have lost the most in the current scenario. Several crypto billionaires also had their fortunes reduced to a fraction of what they began 2022 with.
Amidst this scenario, we saw Terra USD, the stablecoin based on Luna, completely crash to zero. The stablecoin was unlisted from all leading exchanges. Stablecoins are considered a safe investment choice as their value is kept constant, much like fiat currencies.
Terra USD’s fall also affected Luna, the stablecoin’s sister currency. The coin fell massively and almost hit the zero mark.
The May 2022 crash was devastating to a particular man named Chancers from South Korea. He had lost a huge sum of money to the crash. “I lost a lot of money in a short period of time. Around $2.4m (£1.9m) of my cryptocurrency was wiped out.”
Chancers was no newbie to the crypto market, and he has been investing for five years. He even got rich from his investments as the values of Bitcoin and other currencies skyrocketed. But, the recent crash put him in a financially unstable position. “Here in Korea I was in the top 1% in terms of my finances. But thanks to the crash, I’m now in trouble,” he said to the BBC News.
Coincidentally, Do Kwon, the man who created both Luna and the stablecoin based on it, lives in South Korea’s capital city. Chancers searched the internet and found his exact home address. He wanted to talk to him directly and thus traveled across the city to his place.
Chancers even live streamed all of this to 100 viewers on his AfreecaTV channel.
However, when Chancers reached Kwon’s house, his disappointed wife let him know that her husband was not home. Seoul city police soon got alerted and arrested him for questioning.
This further infuriated Chancers. He said, “I surrendered myself to the police station twice,” Chancers says. “I didn’t trespass on Do Kwon’s property – but according to Korean law, it’s illegal to just go there and try to talk. I didn’t know.”
Chancers previously worked in the Korean Civil service. However, the current developments can convict him of a case, which will cause him to evacuate his position. The streamer says this will make his life extremely difficult.
He went on to say, “I lost a lot of money and now I’m being investigated by the police. I originally served as a civil servant in Korea – but if I am convicted of this case, I may not be able to return to the civil service again.”
Chancers is disappointed with the behavior Mr. Kwon put forward as his coins collapsed. He is calling Kwon’s a “scam” now.