Binance Delists LUNA Futures, Margin Pairs, Spot Trading Pairs

The strength of the bear market has hit some projects harder than others. However, no coin is more painful than LUNA, the governance token behind the Terra ecosystem. Tokens are falling so quickly that Binance, the world’s largest cryptocurrency exchange, is turning its back on it.

On May 12, Binance, the world’s largest cryptocurrency exchange presentation Perpetual suspension of the LUNA/USDT pair after reducing the approved leverage by 8x.

The move comes after a series of events that caused LUNA’s price to plummet by more than 99%, costing investors in the crypto community millions of dollars.

But that wasn’t enough. LUNA continued to fall with no sign of stopping. Just hours after announcing earlier Binance said Crossed and Isolated Margin Pairs, Spot Trading Pairs BUSD Margin Perpetual Contracts on LUNA, Basically Eliminates Saying Goodbye to Cryptocurrencies Too Exaggerated.

Image: Binance

This movement is not spontaneous. The day before, on May 11th, Binance reduced its maximum leverage on LUNA futures by 8x after witnessing a massive liquidation wave from over-leveraged positions. However, since LUNA tokens are currently trading below $0.005, anyone trying to save a long leveraged position on the same day would have lost it.

Yesterday, Binance CEO Changpeng Zhao warned through an official Twitter account that there is a “new market” with new stablecoins, so we need to respect the market when trading. . [But] If it falls, it can become a vicious cycle,” he said. This message has to do with everything that happened at UST.

LUNA price plummets and several people close their doors.

On May 11th, LUNA’s price dropped from $40 to less than $1. There were also people on the Reddit community who said: talked about suicidewhile others report lose savings And home equity loan due to a collision.

terra reddit
Top posts on the Terra Reddit forums. Image: Reddit

In less than a week, anyone who had invested $100,000 in the Terra project had their total assets dropped to less than $500. And this does not include those who have their money frozen in “safe” UST stablecoins. Although the UST was designed to be worth $1, the token plummeted from $1 to $0.2. This is a disaster for any investor, conservative or aggressive.

Currently, the Terra (LUNA) team has announced that they are taking certain steps to restart the project. However, the measures taken so far do not appear to have affected the broader market sentiment.

The team behind Terra is now considering all proposals to revive LUNA and UST. Today, the Terra development team announced that they were shutting down the blockchain “to avoid a governance attack after severe inflation in $LUNA.”

So, on May 11th, Terra founder Kwon Do revealed that they are working to restart the project, but other exchanges may follow in Binance’s footsteps and delist LUNA/USDT trading until further notice.

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