CZ recently took over the province as the head of Terra (LUNA) at a Reddit AMA and rejected the UST bailout proposal


summary:

  • At a recent AMA, Binance CEO was asked if he would buy Do Kwon from LUNA and bail out UST.
  • CZ responded humbly to the request, but given that he’s ‘already pretty busy’, that’s unlikely to be the case.
  • CZ also stated that the exact details of the LUNA airdrops possible after the Terra hard fork will be decided through official consensus.

Yesterday, May 21st, CZ AMA held (Ask anything) session on the r/Cryptocurrency subreddit page.

Over an hour, Binance’s CEO answered various questions on a variety of topics in the cryptocurrency space, such as cryptocurrency adoption, the future of the Binance Smart Chain, and recent events surrounding Terra (LUNA) and TerraUSD (UST).

CZ rejects UST takeover proposal with provincial government and bailout financing

Regarding LUNA and UST, a community member known as u/emptystats asked CZ if they would consider bailing out UST and taking over the metropolitan area as the head of Terra (LUNA).

According to u/emptystats, CZ had to invest $3-6 billion to partially collateralize the remaining 10 billion UST. In return, Binance will receive a significant allocation of new LUNA tokens after the planned hard fork. There is also an additional mechanism that requires users to purchase and unlock BNB for 3-7 years to use UST.

u/emptystats concluded that such behavior by CZ would make him one of the most loved in the cryptocurrency space and that he would ‘make money by forcefully buying and locking up BNB’.

In response, CZ humbly accepted the request, but said that such a scenario is unlikely given how busy he is already. he said:

I am humbled by such requests. Thank you for trusting me. But the short answer is:

I’m already pretty busy and algo stablecoins are not my specialty. Each of us must do our best. We hope the community will eventually settle for a good solution and we will be here to support it.

Exact details about the pending LUNA airdrop will be resolved

Regarding possible hard forks to Terra Classic (LUNC) and the new Terra (LUNA) chain, CZ asked whether Binance would distribute new tokens based on individual user balances of old tokens during the snapshot.

In his reply, CZ stated that Binance is ‘working hard to ensure that users who hold coins/tokens on our exchange receive airdrops for their holders’. He also added that ‘the exact details will be worked out after a formal agreement has been reached on what the Terra team plans to do’.

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