The guy allegedly entered the apartment building where Do Kwon’s family lived and rang the doorbell, according to police reports. The trespasser was looking for Kwon, but instead found his wife, who then requested police protection.
After being apprehended by law enforcement authorities, the trespasser told the media that he had lost between 2 and 3 billion won, or at least $2 million. His main goal was to persuade Kwon to accept responsibility for the collapse of his stablecoin and the concept behind it, as well as the resulting agony in the cryptocurrency market.
The depegging of the UST stablecoin asset from the US dollar produced a cryptocurrency market crisis, with Do Kwon’s brainchild and the CEO himself at the heart.
TerraUSD is a cryptocurrency that is tied to a single US dollar. It serves as a crypto alternative to a widely used currency. Stablecoins serve as a link between cash and digital assets for traders and investors.
The depegging of UST was primarily triggered by a significant outflow of liquidity from the stablecoin as a result of Bitcoin’s rapid collapse below $35,000. As TerraUSD fell below $0.98, investors panicked and sold their UST holdings, adding to the pressure.
The Luna Foundation Group began a large sell-off of its assets to defend the peg. However, due to the collapse of BTC, the principal collateral underlying UST, the foundation was unable to maintain the peg and failed to prevent a further decrease.
Read more: Terra blockchain projects may get help from Polygon, Fantom and other networks
