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Cryptocurrency Luna crashes 100 percent to $0 in seven days

Over the last few weeks, the crypto market has been in a free fall

May 14, 2022 / 02:50 PM IST
Representative image

Representative image

The sister token of stablecoin TerraUSD Luna crashed to $0 on May 13, showing a 100% erosion in its value. It was trading at an all-time high of $116 on April 5.

The market capitalization of the token slumped from around $40 billion to around $6 million during the last seven days, according to Coinmarketcap.

Luna’s downfall started when its sister token UST, which is also a stablecoin, was 'depegged' from its $1 value as big investors started dumping it.

Meanwhile, Binance, the world’s largest crypto exchange, temporarily delisted UST and Luna on May 13. Binance CEO Changpeng Zhao said that while the firm “always aims to be neutral,” it “will break that rule this time.”

Also Read | Crypto market: Why is there a crash and what’s next?

After global exchanges, Indian exchanges including WazirX, Coinswitch Kuber, and CoinDCX have delisted Luna.

Over the last few weeks, the crypto market has been in a free fall. Bitcoin's price is currently Rs 22.85 lakh. The world's biggest cryptocurrency has dropped 35.75 percent YTD and has lost more than half its value since it hit an all-time high of $69,000 in November last year.

Crypto exchange Coinbase lost about a third of its value this week, during which the cryptocurrency trading platform reported that active monthly users fell by 19% in the first quarter amid the decline in crypto values.
Moneycontrol News
first published: May 14, 2022 02:50 pm