- The 3AC founder Su Zhu accused the Digital Currency Group and FTX of the collapse of Terra’s algorithmic stablecoin UST and its native token LUNA.
- Su Zhu should be accountable for the failure of his own platform, as crypto Twitter noted that Zhu should currently be behind bars.
The crypto industry is in turmoil, with accusations flying between different players.
3AC co-founder Su Zhu has accused Digital Currency Group (DCG) of influencing the collapse of LUNA and sTETH. Zhu Su also alleges that DCG continued to attract deposits despite being insolvent.
Zhu Su’s accusations come after the collapse of FTX and 3AC. FTX was a high-profile crypto exchange that collapsed in November due to reported misappropriation of customer funds. 3AC, a crypto hedge fund, fell into liquidation in the same month after failing to meet its margin calls.
Zhu Su’s accusations against DCG have been met with skepticism by some in the crypto community. However, they have also raised concerns about the level of interconnectedness between different players in the crypto industry.
The Winklevoss twins, who co-founded the crypto exchange Gemini, are also involved in a dispute with DCG. The Winklevoss twins have accused DCG of fraud and Exchange Act violations.
The Winklevoss twins’ lawsuit is the latest in a series of legal challenges facing DCG. DCG has also been accused of market manipulation and insider trading.
The turmoil in the crypto industry is a reminder of the risks associated with investing in cryptocurrencies. Cryptocurrencies are a volatile asset class, and there is always the risk of fraud and manipulation.
Investors should carefully consider the risks before investing in cryptocurrencies. They should also do their due diligence on the companies they are investing in.
The future of the crypto industry is uncertain, but it is clear that the industry is undergoing a period of significant change. The accusations that have been flying between different players in the industry are a sign of the growing distrust and uncertainty in the market.
It remains to be seen how the crypto industry will emerge from this period of turmoil. However, it is clear that the industry is not going away anytime soon.