Terra Luna Founder Do Kwon Net Worth 2022 & Cause of Terra Luna Crash

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The founder and CEO of the South Korean business Terraform Labs, which has its Singaporean headquarters, is Do Kwon. Does Kwon in Terraform Labs develop Terra LUNA (which is presently LUNA Classic following the crash)?

One of Terra LUNA’s main features was Terra USD (UST) which is an algorithmic stablecoin that is meant to maintain a 1:1 peg with the US Dollar. In a nutshell, UST pegging is a simple model to prevent market cap or price fluctuations of Terra LUNA which will help it remain a stablecoin.

Who Is Do Kwon?

Do Kwon was born on 1 September 1991 in South Korea. Do Known joined Daewon Foreign Language High School, which is a private preparatory school located in Seoul, South Korea. Then, for his higher education, he studied Computer Science at Stanford University. Formerly, Do Kwon also worked at Microsoft & Apple, but just for three months in each company. He later pivoted into Crypto and formed two different stablecoin projects called Basis Cash and Terra (LUNA).

Both projects grew to be multi-billion dollars in market capitalization, however, later failed due to being regarded as ‘Ponzi’s’. The yield and price stability mechanisms were ultimately flawed, which resulted in both stablecoins losing their peg to the US Dollar.

Basic Information
Stage Name:Do Kwon
Real Name:Kwon Do-Hyung
Occupation:Cryptocurrency Developer
Date Of Birth/Age:06 September 1991 (31 Years Old
Place of Birth:South Korea
Gender:Male
Nationality:South Korean
Marital Status:Married
Education:Daewon Foreign Language High School
Stanford University
Basic Information About Do Kwon Terra Luna Founder

Cryptocurrency Career

Do Kwon find the Anify peer-to-peer communications firm in 2016? Until 2017, he was the company’s CEO. He then entered the crypto sector. He and business entrepreneur Daniel Shin co-founded Terraform Labs in 2018.

The purpose of the company is to create a decentralized cryptocurrency with stable pricing. With it, Kwon and co-founder Daniel Shin established the Terra Proof-of-Stake (PoS) and algorithmic stablecoin UST.

The company also creates the LUNA stablecoin, a local currency on the Terra network. It also oversaw the establishment of CHAI, a UST-based e-commerce platform.

Terra Luna Founder Do Kwon Net Worth

According to a report by the Wall Street Journal, Do Kwon was probably a multi-billionaire when LUNA was trading at 100 USD before the crash. The Terra LUNA Crash wiped out nearly all of Do Kwon’s wealth within just a few days in the month of May 2022. The crash flushed away 45 Billion USD worth of public investments, the money just disappeared in thin air.

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Terra Luna Founder Do Kwon Net Worth

How did Do Kwon grow his Net Worth?

Do Kwon make hundreds of thousands of Ethereum during the early DeFi boom in 2019 and 2020? His estimated net worth before the collapse of Terra Luna was $50 Billion, this was when one LUNA token was worth over $110.

The price has since dropped over 99.99% and is under $0.0001 USD per LUNA token.


Kwon is currently in the process of trying to revitalize the Luna blockchain, and hopefully his net worth – but there is not a lot of confidence among investors. Many now consider Kwon to be crypto’s equivalent of Elizabeth Holmes, the infamous creator of Theranos.

Terra LUNA: The Reason That Flushed Away Do Kwon Net Worth

LUNA is the native token of the Terra Blockchain System. Stablecoins such as Tether (USDT) is pegged with the actual US dollar which is a stable currency itself because the US Dollar, of course, is contained in the actual banks of the United States and other reserves from over the World. Also, US Dollar is issued by the United States, the country, hence its value and worth increase day by day, it doesn’t decrease, hence it makes the native token USDT Stable & Safe.

On the other hand, the value of LUNA was pegged with Terra USD (UST) which is another stable token developed by Terraform Labs themselves. Its value is not tied to any actual currency like US Dollar, instead, it used a complex set of codes to determine its value which was equivalent to the value of the US Dollar. Hence, it was known as a stablecoin back in the old days before the crash.

The major reason behind the crash was the de-pegging of Terra LUNA (LUNA Classic Currently) with Terra USD (UST), which according to me might be a technical glitch on the server end, but it might also be a pre-planned crash by the company, as the company was not responding to its users and other people’s trolls on Twitter. During the initial few days, the company was acting like it did not even exist. Also, the creator of Terra LUNA has a history of creating failed stablecoins.

To compensate for the falling price of LUNA, the company minted extra few million LUNA tokens, but instead of increasing the value of LUNA, it made the value fall down exponentially, but the company did not even burn the extra minted LUNA coins to re-stabilize the value of the token.

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Many leading crypto exchange companies like WazirX, CoinDCX, Binance, Coinbase, etc were ready to help Terraform Labs during that critical time and these companies were ready to provide technical support to help them stabilize the value of Terra LUNA by re-pegging the token with UST, but on the contrary, they didn’t even accept their help. Doesn’t that sound odd?

Conclusion

Do Kwon is a Messiah and a bad CEO in my opinion. In a post-accident interview, he said, “I alone am to blame for the disaster.” I have never considered what may happen to me if this fails, he said. He said, “This doesn’t worry me because I live a reasonably frugal life,” to this.

The average folk whose fortune was destroyed in this disaster surely feel devastated after hearing what he said during the interview. As a result, I don’t believe Do Kwon is deserving of creating something where ordinary people may put their hard-earned money. That concludes my discussion about Do Kwon. Please share your thoughts on the matter in the comments area.

Frequently Asked Questions?

Why did LUNA go down?

The Luna crypto meltdown was triggered by its link to TerraUSD (UST), the Terra network’s algorithmic stablecoin. Over $2 billion in UST was unstacked (removed off the Anchor Protocol) on May 7, and hundreds of millions of dollars were swiftly liquidated.

Should LUNA be purchased by investors?

LUNA might be a decent investment for those people who want to diversify their portfolios while waiting for it to rebound.

Is LUNA a wise investment?

LUNA is not a good investment right now, but that should not dissuade investors from conducting research and selecting the best course of action.

Who Is Terra Luna’s Founder?

Kwon Do-Hyung, also known as Do Kwon, is a South Korean cryptocurrency developer who co-founded and is the CEO of Terraform Labs in Singapore. Terraform Labs is the unlicensed corporation responsible for the Terra blockchain, which includes the stablecoin TerraUSD and the network token Terra.

The founder of Terra Luna, net worth in 2022?

Do Kwon is AD Terra’s co-founder and CEO. As of 2022, his net worth is estimated to be approximately $10 million.

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