The Terra community and Do Kwon rose to the very best tier of the crypto world because of big-shot buyers, solely to disintegrate inside just a few days in Could 2022. On Could 7, the value of the then-$18-billion algorithmic stablecoin UST, which is meant to keep up a $1 peg, began to wobble and fell to 35 cents on Could 9. Its companion token, LUNA, which was meant to stabilize UST’s worth, fell from $80 to some cents by Could 12. The collapse despatched a shockwave all through the crypto sector, finally resulting in a chronic crypto winter.
