Terra/LUNA Collapse

The catastrophic failure of the Terra blockchain ecosystem in May 2022. The de-pegging of its algorithmic stablecoin, TerraUSD (UST), triggered a death spiral with its sister token, LUNA, wiping out over $40 billion in market value in a matter of days. This event caused a major crypto market crash and led to increased calls for stablecoin regulation.

Category: crypto history, defi

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