what's TerraClassicUSD?
TerraClassicUSD (USTC) is an algorithmic stablecoin operating on the Terra Classic blockchain, originally designed to maintain a 1:1 peg to the US dollar through a dual-token mechanism involving its sister token LUNC (formerly LUNA). Following the Terra ecosystem's collapse in May 2022, UST was rebranded to USTC on the original Terra Classic chain after the launch of Terra 2.0. It relies on arbitrage incentives and seigniorage for stability, with LUNC burned to mint USTC and minted to expand supply during depegging events.
USTC derivatives listed; 8% slippage on $1M orders, liquidity issues reported.
Terraform Labs bankruptcy administrator filed a $4 billion lawsuit against Jump Trading and multiple executives, alleging they unlawfully profited from and contributed to the 2022 Terra crash that led to approximately $50 billion in losses.
USTC derivatives are listed for trading with reported liquidity issues showing 8% slippage on $1 million orders.
Judge Paul Engelmayer sentences Do Kwon to 15 years in prison, exceeding the 12 years prosecutors requested, for crimes related to the May 2022 TerraUSD and Luna collapse.
USTC is in the top 10 coins by 24-hour volume.
U.S. prosecutors request 12 years in prison for Do Kwon, with sentencing scheduled for December 11.
Do Kwon requests his sentence in the $40B fraud case be capped at five years, compared to the potential 25 years he faces after pleading guilty.
Do Kwon pleads guilty to fraud charges, faces up to 25 years in prison.
Do Kwon, co-founder of Terraform Labs, is expected to plead guilty in U.S. fraud case related to the $40 billion collapse, with change-of-plea hearing scheduled for Tuesday.
GENIUS Act passes Senate on June 17, requiring 1:1 U.S. asset backing for stablecoins.
GENIUS Act mandating 1:1 reserves and monthly disclosures for stablecoins clears major Senate hurdle, aims to prevent historical collapse scenarios.