CZ Declines Suggestion to Take Over from Do Kwon as Head of Terra (LUNA) and Bail out UST in Recent Reddit AMA
For one hour, the CEO of Binance answered various questions spanning different topics in the crypto-verse, such as crypto adoption, the future of the Binance Smart Chain, and the recent events surrounding Terra (LUNA) and TerraUSD (UST).
CZ Declines Offer to Take Over from Do Kwon and Bailout UST
With respect to LUNA and UST, one community member known as u/emptystats asked CZ whether he would consider bailing out UST and taking over from Do Kwon as the head of Terra (LUNA).
According to u/emptystats, all CZ had to do was invest $3 to 6 billion to partially collateralize the remaining 10 billion UST. In return, Binance would get a significant allocation of the new LUNA tokens after the planned hardfork. Furthermore, there would be an additional mechanism whereby to redeem UST, users would have to buy and unlock BNB for three to seven years.
u/emptystats concluded that such an act from CZ would make him the most beloved man in the crypto space, and he ‘would likely make money too with BNB forced to be bought and locked.’
In his response, CZ stated that he was humbled by the request, but such a scenario was unlikely given how busy he is already. He said:
I am humbled by such a request. Thanks for the trust in me. But short answer is: unlikely.
I am pretty busy already, and algo stable coins is not my speciality. We should each do what we do best. I hope the community eventually settle on a good solution, and we will be here to support it.
Exact Details of the Pending LUNA Airdrop Will Be Worked Out
Concerning the possible hardfork of Terra into Terra Classic (LUNC) and a new Terra (LUNA) chain, CZ was asked whether Binance will distribute the new tokens according to individual user balances of the old tokens during the snapshot.
In his answer, CZ clarified that Binance ‘works hard to ensure users that hold coins/tokens on our exchange can receive airdrops intended for holders.’ He also added that ‘the exact details will be worked out after there is an official consensus on what the Terra team plans to do.’
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