Cision PR Newswire
MoonXBT offers full refund to users embroiled in LUNA crisis
News provided byMoonXBT
May 19, 2022, 6:08 AM ET
SINGAPORE, May 19, 2022 /PRNewswire/ -- The collapse of LUNA and TerraUST has sent shock waves across the entire cryptocurrency industry over the past week. The entire crypto market deep-dived to 11% in just 24 hours, and most cryptocurrencies have been suffering major losses such as Avalanche, ApeCoin, Solana, and Shiba Inu. As of May 15, Bitcoin is down 20% from last week, trading at $28,809, and Ethereum fell by 27% to $1,968.
LUNA's free-fall caused a severe shock to the digital currency market, resulting in abnormal trading conditions for many pairs, including LUNA and APE worldwide. On the social trading platform MoonXBT, some traders took advantage of the vulnerability and manipulated the price, resulting in the decoupling of LUNA and APE token prices from other trading platforms. In light of the situation, on May 10, MoonXBT launched an emergency shutdown and resumed full services after.
All LUNA and APE trading orders generated during the data anomaly were rendered invalid by the platform. In order to safeguard users' rights, the platform also pledges to take the initiative to compensate those who suffer loss for their positions on non-Luna-and-APE due to the emergency shutdown.
One of the possible reasons for the crisis, as suspected by many crypto experts and financial pundits, is the particular pricing structure of the TerraUST. The algorithm-based stablecoin uses a complicated method, with the help of LUNA, to ensure its value is maintained against the dollar, Edward Moya, a senior market analyst at foreign exchange platform OANDA, told Los Angeles Times. He added that most stablecoins will hold actual assets to function but the algorithmic solution that TerraUST had was unable to handle the market volatility that we are seeing across the bond markets.
Some also believed that the crypto market has not reached the bottom even after the volatility over the past week, although Moya believed that the crisis does not seem to suggest there is a systematic risk in the crypto market. Indeed, some see the past week as a "black swan" incident and that the crypto market should be able to recover and handle it.
Major crypto exchanges have quickly responded to the situation. Among them is the social trading crypto exchange MoonXBT, which has won recognition for its swift actions to help its users to get through the hard time.
Michael, Co-Founder of VB Margin and VB Capital thought highly of MoonXBT's measures towards LUNA crisis. He expressed that MoonXBT performed its duty as a responsible big trading platform when the platform took immediate action to protect the users' assets from being affected by the sharp market fluctuations. By showing cares to users, MoonXBT has once again demonstrated its responsibility as a fair, responsible and just platform that is committed to providing a sustainable and safe trading environment to its users.
Acknowledging the inevitability of the occurrence of black swan incidents like LUNA crisis, MoonXBT vowed to learn from these incidents and grow together with its users.
The platform, as always, will spare no efforts to protect its users' assets. Nor will it allow any violations by individuals to harm the interests of the majority users, MoonXBT said.
In addition to the compensation it promises to its users embroiled in this crisis, the platform said it will offer more investment projects and opportunities to its users. Users of the platform will have the priority and enjoy extra benefits for Web3.0 projects invested by MoonXBT.
MoonXBT reaffirms its goal to create a safe and just trading and investment environment for its users. It has been MoonXBT's mission to protect the safety of users' assets. The platform will make unremitting efforts to help the users profit from legitimate trading activities that comply with the regulations.