By Alicia Maher
Following new developments surrounding the Terra network crash, the Terra team should brace up for another huge criticism. A whistleblower is claiming that Do Kwon and Terra are responsible for the network crash.
New Reasons For The Terra Network Crash
He also said that the team’s incompetence and series of false information to investors is the main reason investors lost hundreds of billions of dollars to the network’s crash. Twitter user and Terra community advocate (Twitter username @fatmanterra) claim that several people have contacted him about the Terra crash.
They allegedly have free information on the truth about the network’s crash. Fatman added that the volunteers also claim to have updates about the network’s plans. Fatman used a Twitter thread to reveal various information the whistleblowers gave him.
In the past 48 hours I have been contacted by several whistleblowers. These people would like to and will stay anonymous. I have learned some deeply troubling things and there is a lot more to come – this is just the very beginning. Here is some of what I can tell you.
— FatMan (@FatManTerra) May 23, 2022
Fatman also made damning allegations against Terra CEO, Do Kwon, FTX CEO, Sam Bankman-Fried and Jump crypto CEO, Kanav Kariya. According to Fatman, LUNA owes Jump bailout funds from May 2021. They have been paying the loan monthly since then.
He also claims that there are unseen forces who control the activities of Jump crypto CEO, Kanav Kariya. However, he didn’t reveal further information about those people. Fatman also allege that FTX CEO, Sam Bankman-Fried, made some underhand deals with Jump crypto.
The Connection Between Do Kwon, Sam Bankman-Fried And Kanav Kariya
Fatman claims that there was a secret deal between do Kwon and Jump crypto (a group of blockchain developers). Kwon was paying the Jump team every month to manipulate the market values of the network’s token and stablecoin.
However, the Jump team couldn’t sustain the manipulations. Thus, retail investors lost huge amounts of money. Fatman further alleges that Jump CEO, Kanav Kariya, operates a secret slack group where he receives instructions from his puppeteer.
He also alleged that FTX CEO, Sam Bankman-Fried had a 30% handshake deal with DEX platform, Serum, and Jump to rip off retail investors. These new allegations come when the Terra community is still considering whether Do Kwon and the Terra team diverted funds to stabilize the network’s tokens for personal use.
However, there is still no hard proof of this allegation of funds misappropriation. As widely reported, South Korean authorities are already investigating Do Kwon and LUNA Foundation Guard (LFG) over the issue.
Korean Police May Have Similar Information From Whistleblowers
There are also reports that South Korean police have asked Korean crypto exchanges to freeze assets linked to or belonging to the LFG. Hence, many Terra community members are afraid. If the LFG’s funds are seized, Terra can’t repay LUNA holders as promised. Also, they would have no funds to launch a Terra 2.0 network.
Fatman claims that the actions of the Korean police suggest that the LUNA whistleblowers might have given similar information to them. Hence, he claims that if the police freeze Terra funds, it is unlikely that smallholders will get any refunds.