Terra Founder Do Kwon Had Bet $11 Mln On LUNA Staying Above $88

In a move that has likely aged like milk, Terra founder Do Kwon had in March collectively bet around $11 million with two crypto traders on the price of LUNA.

Kwon wagered that LUNA would trade above $88 by March 2023- exactly a year from the placing of the bet.

The Terra founder bet $10 million with crypto trader @GiganticRebirth, and $1 million with @AlgodTrading. GiganticRebirth had doubled down on the bet by also taking a short position on LUNA.

The parties had locked the total $22 million in USDT with an escrow account run by popular crypto trader @cobie, who also runs a crypto podcast.

With Terra’s recent crash, there’s little question over who won the $22 million wager. LUNA is trading around $0.0006918, as of press time.

The two traders had repeatedly criticized Terra unsustainability

Both GiganticRebirth and Algod were vocal critics of Terra, which had drawn ire from Kwon and other LUNA holders. Their bet with Kwon was on a similar notion.

While Terra’s crash has been catastrophic for the crypto market, it has also been a source of vindication for the traders who had predicted UST’s unsustainability.

Commenting on the crash, and the bet, Algod called on Kwon to pay out the bet prematurely.

It is very clear the original luna coin wont reach $88 anymore while a v2 version would make GiganticRebirth and I auto win.

-Algod

GiganticRebirth has also commented on the crash, and said they had bought 120,000 LUNA to cover “risk” over their short position.

English poet Thomas Howell used to have an old idiom; don’t count your chickens before they hatch

-GiganticRebirth

LUNA crashes, but still alive

While the token has lost about 99% of its value, it still appears to be seeing immense trading volumes.

The price of the token has jumped more than 1000% in the past 24 hours, albeit amid extreme volatility. Terra still appears to be taking steps to support the blockchain.

Kwon said on Saturday that Terra will deploy the Bitcoin reserves of the Luna Foundation Guard to protect developers on the blockchain. So far, any attempts to support the UST peg have largely failed.

With more than five years of experience covering global financial markets, Ambar intends to leverage this knowledge towards the rapidly expanding world of crypto and DeFi. His interest lies chiefly in finding how geopolitical developments can impact crypto markets, and what that could mean for your bitcoin holdings. When he isn’t trawling through the web for the latest breaking news, you can find him playing videogames or watching Seinfeld reruns.
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