CZ Says He Held $1.6 Billion of LUNA Before Terra Collapse
Summary
- Zhao said he bought LUNA tokens worth $3 million in 2018, and that their value had reached $1.6 billion just before the Terra-LUNA collapse.
- He said the Binance team considered selling its LUNA holdings during the Terra-LUNA crisis, but no sale was made.
- Zhao said the reasons included the risk of fueling market panic and the fact that a large-scale exit would have taken considerable time once the market had already entered a steep downtrend.
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Binance founder Changpeng Zhao, known as CZ, said he held $1.6 billion worth of LUNA just before the 2022 Terra-LUNA collapse.
Wu Blockchain reported on April 8 that Zhao discussed the Terra-LUNA crisis in his recently published memoir, Freedom of Money. Zhao is known to have bought $3 million worth of LUNA tokens in 2018. In the book, he wrote that the holdings had risen in value to $1.6 billion just before Terra and LUNA collapsed.
The Binance team considered selling the tokens during the crisis, but ultimately did not. In the memoir, Zhao said a sale could have intensified market panic. He added that once the market was already in a sharp decline, a large-scale exit would have taken considerable time.
Zhao also wrote that he did not want Binance to appear to have exited before retail investors.
JOON HYOUNG LEE
gilson@bloomingbit.ioCrypto Journalist based in Seoul