I lost big in 2022 when #LUNA and #LUNC collapsed from $116 to basically $0. Do Kwon had no backup plan, and all I got in return were just a few cents. I originally held 2,000 coins, and after the crash, I ended up with 1.6 million coins — but they were worthless. The project was over, and countless investors lost everything.

According to Reuters, Kwon agreed last June to pay an $80 million civil fine and accept a ban from crypto transactions as part of a $4.55 billion settlement with the U.S. Securities and Exchange Commission.

In Thursday’s indictment, the Manhattan U.S. Attorney's office alleged that Kwon misled investors in 2021 about TerraUSD — a so-called stablecoin meant to maintain a $1 value. He claimed the “Terra Protocol” algorithm had stabilized the coin after it lost its peg in May 2021, but in reality, he secretly arranged for a high-frequency trading firm to buy millions of dollars’ worth of the token to artificially boost its price.

To this day, many wonder if it was all a perfectly orchestrated scam. Billions of dollars were wiped out, with investors losing money not only in #LUNA and #LUNC but also in #UST, which now trades at just 1 cent.

The lesson? Never put all your funds into one project. Diversify your investments to protect yourself from disasters like this.