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After the new Terra blockchain Phoenix-1 began operating on 28 May and millions of new LUNA tokens were dispersed to LUNC (Luna Classic) and USTC (TerraUSD Classic) holders, Terra’s development team tweeted that some token owners “received less LUNA from the airdrop than expected”. The Twitter backlash was swift, with many confirming this was indeed true. Terra said it was “actively working on a solution” and would provide further information when it had “gathered all of the data”.
Under pressure to apply stricter controls to crypto after Terra’s collapse (which affected almost 280,000 South Koreans), South Korea will establish a Digital Asset Committee by end-June, after the Financial Services Commission’s new chairman takes up office. It will act as an industry watchdog until the Digital Asset Basic Act comes into effect, whereupon the government will set up a separate agency for the task. In the meantime, the committee will set coin-listing criteria, monitor unfair trade practices and oversee investor protection.
The so-called “no-loss lottery” DeFi platform PoolTogether has raised 470.90 ETH (worth $911,959) via an NFT sale in order to fund its legal defense against a putative class-action lawsuit led by Joseph Kent, former tech lead for Senator Elizabeth Warren’s 2020 presidential campaign. This means it is more than halfway to its goal of raising at least 769 ETH (worth about $1.5 million), and the NFT funding campaign will end in 21 days. Kent alleges that PoolTogether operates an illegal lottery in New York, and is seeking compensation of twice the expenditure on lottery tickets, plus a “reasonable amount” of legal fees.
The Brazilian Development Bank has officially launched the Brazilian Blockchain Network, which is designed to help institutions in the country increase public transparency. The network, which is still in its experimental stages in the labs of such institutions, plans to have its first applications ready for 2023. A key issue it aims to solve is the distrust that Brazilians have of state institutions, possibly by moving public processes to a blockchain and making them follow established constraints.
In a bid to be “extremely compliant” amid greater scrutiny from regulators, Polygon now requires extensive KYC details to provide funding, investments, grants or financial support to potential partners in India. This comes as developers in India have been discussing the difficulty of obtaining funding from Polygon, with some even saying it has stopped funding projects in India altogether. However, an anonymous source close to the matter said this was not the case and that Polygon merely wanted to avoid running afoul of the government.
26 renowned technologists have banded together to urge US lawmakers to crack down on crypto and resist lobbying from blockchain firms, making this the first such concerted effort of its kind. In a letter to Senate Majority and Minority Leaders Charles Schumer and Mitch McConnell, as well as leading senators like Republican Patrick Toomey and Democrat Ron Wyden, they wrote: “We urge you to resist pressure from digital asset industry financiers, lobbyists, and boosters to create a regulatory safe haven for these risky, flawed, and unproven digital financial instruments.”
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BTC rose 0.36% to $31,653.90 in the last 24 hours. Within the same period, ETH fell 1.17% to $1,940.36, while other major altcoins also saw declines: ADA was down 5.66%, SOL was down 2.67% and AVAX 3.17%. At the same time, meme tokens SHIB and DOGE saw mixed results: the former fell 0.89% and the latter rose 0.03% in the past 24 hours. After rising yesterday following the launch of Terra 2.0, LUNA has dropped 10.75% to $7.50 in the past 24 hours.