Luna’s market value has dropped from over $30 billion to around $6 million in the past week. WazirX, India’s largest crypto platform by trading volume, said on Friday morning that they will delist Luna/USDT, Luna/INR, and Luna/WRX pairs.
CoinDCX, another cryptocurrency exchange, announced that they will remove UST and Luna from the CoinDCX app immediately. It has a companion currency, UST or terraUSD, which is an algorithmic stablecoin. They shut the Terra network down on Thursday after the value of its token, terra, dropped below 2 cents after trading at around $80 a week ago.
It’s fall began over the weekend, when its sister token, UST, a stablecoin, lost its $1 value after large investors dumped millions of dollars’ worth of UST during this period.
Because of rising interest rates, inflation, and Russia-Ukraine war, the TerraUSD or UST fell in the last 48 hours. As a result, Luna, that drives the Terra network, plummeted from $80 to $0.30 in just three days.
It was in the portfolios of many Indian crypto investors, and the crisis washed off their holdings in just few hours.
Terra (LUNA) prize plummeted to where TerraLabs had to temporarily shut down the blockchain to install a new patch to prevent governance attacks.
According to Ashley Alder, Chairman of the International Organization of Securities Commissions (IOSCO), India’s SEBI is also a member, the crypto digital currency market has evolved to where its connection to the mainstream financial market has dramatically heightened. As a result, regulators all around the world are paying close attention to crypto.
According to CoinDesk data, traders of Terra’s LUNA tokens have experienced some of the biggest weekly losses in recent months, with values plunging 99.7% in a week. In the previous two days, the price of LUNA has plunged by 96% to less than 10 cents. It hit a high of $120 in mid-April and was around $60 earlier this week. It fell through many support levels after terraUSD (UST), a Terra-issued stablecoin that was pegged to the US dollar, lost its peg.