The collapse of the Terra ecosystem has shaken the crypto market as the price of LUNA cryptocurrency falls to dust from once being the top-5 cryptocurrencies by market cap. However, amid all the ongoing drama, some rumors floated on Twitter that crypto exchange BINANCE was one of the big investors in the Terra LUNA ecosystem.
Binance CEO Changpeng Zhao has come forward to clear the air regarding the same. In his recent thread on Twitter, CZ wrote:
“First, I need to address falsehoods circulating in crypto Twitter. Binance did not participate in the 2nd round of Luna’s fund raising nor did we acquire any UST. Binance Labs invested $3m USD in Terra (the layer 0 blockchain) in 2018. UST came much later after our initial investment”.
Furthermore, Zhao said that Binance has invested in several crypto projects over the last four years. Some have outperformed while some have gone to dust. “That’s how investments work,” explains CZ.
CZ Asks What is Terra Doing About Its Bitcoin Reserves
Ever since the collapse of the Terra ecosystem, some market players have been suggesting ways to recover from this situation. One of the latest proposals was to hardfork Terra 2.0, create a snapshot of holdings before the collapse triggered, and provide LUNA holders with new LUNA 2.0.
