Korbit, a major South Korean cryptocurrency exchange , announced on Wednesday that it had delisted Terra (LUNA) from its platform. The maneuver comes after other platforms like Bithumb and Upbit made the same action with the controversial token.
According to The Korea Herald, lawmakers from South Korea had been vocal in criticizing the chiefs of major crypto exchanges in the country because of their ‘uncoordinated’ response to the fiasco around LUNA and TerraUSD. As a result, the exchanges failed to coordinate when to delist LUNA, with Bithumb and Gopax halting trading of the troubled cryptos on 10 May. Still, Upbit and Korbit suspended deposit and withdrawal services weeks later, causing confusion among investors.
Korbit will end all LUNA-related services on Friday, 3 June at 2 pm local time. On 31 May, all deposit services will be available on the platform until 2 pm, and on 31 August, withdrawal services will close at 2 pm.
To protect its customers, Korbit plans to use transaction fees from any LUNA-related activities after 10 May, when the coin was designated as a ‘crypto to invest with caution’. “The money will be used to support customers that faced losses due to crypto deposit mistakes and phishing scams,” the firm commented.
Over 280,000 South Korean investors lost almost $38 billion in a week due to the price collapse of TerraUSD and LUNA, according to the Chairman of the Financial Services Commission, Koh Seung-beom. The price of TerraUSD and LUNA coins plummeted 99% in 48 hours, compared with a high of $116 per coin in December of last year.
Alleged Tax Evasion by Terraform Labs
According to a recent report, South Korea’s National Tax Service (NTS) has fined Terraform Labs and Do Kwon 100 billion won ($78 million) for alleged tax evasion.
Naver News reported that Do Kwon has been unhappy with the domestic taxation system since December last year.
