![following-luna-ust-crash-south-korea-emphasizes-need-for-digital-currency-regulations Seoul skyline](https://coingeek.com/wp-content/uploads/2022/05/following-luna-ust-crash-south-korea-emphasizes-need-for-digital-currency-regulations-380x188.jpg)
Following LUNA UST crash, South Korea emphasizes need for digital currency regulations
The country’s regulators have said they will use the Terra debacle to raise awareness among digital asset investors following the LUNA meltdown.
The country’s regulators have said they will use the Terra debacle to raise awareness among digital asset investors following the LUNA meltdown.
An algorithmic stablecoin lost its peg to the U.S. dollar, and as a result, it caused the algorithm to print mass amounts of LUNA token, causing it to crater from $100+ to pennies overnight.
Joshua Henslee released a video discussing his take on the digital currency market chaos last week, particularly how the 'leaders' in the space are handling the issue.
Bitcoin developer Joshua Henslee released a new video talking about one of the most dramatic events in the digital currency industry in recent times: the collapse of the UST stablecoin.
The over-concentration of the stablecoin markets was also highlighted, with the trio of Tether (USDT), USD Coin (USDC), and Binance USD (BUSD) controlling over 80% of the market share.
The prices of inter-linked LUNA and UST tokens on the popular Terra network tanked this week, causing leading exchanges, including Binance, to suspend transactions in those assets.
UST, originally created to withstand up to 91% of the decline in value of LUNA (according to Terra white paper), has now deviated from its core goals of remaining safe and solid.