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South Korea Launches ‘Emergency’ Investigation Into Collapse of LUNA and UST

South Korea’s top financial regulators have launched an emergency investigation into the collapse of cryptocurrency LUNA and stablecoin UST. The authorities have asked domestic cryptocurrency exchanges to provide information relating to transactions and investors of the two coins.

South Korea has launched an “emergency” investigation of domestic crypto exchange operators following the collapse of the terrausd stablecoin (UST) and terra (LUNA) cryptocurrency, Yonhap News reported Tuesday, citing unnamed sources.

Last week, UST lost its peg to the U.S. dollar, sending its price and the price of terra (LUNA) into free fall. At the time of writing, UST is trading at less than $0.09 while LUNA is near worthless.

South Korean top financial regulators, the Financial Services Commission (FSC) and the Financial Supervisory Service (FSS), have asked local cryptocurrency exchange operators to share information relating to UST and LUNA, sources told the news outlet.

An official of a local crypto exchange operator was quoted as saying:

Last week, financial authorities asked for data on the amount of transactions and investors, and sized up the exchanges’ relevant measures.

News Wire

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