UST’s Founder Was Earlier Behind Failed Stablecoin Project: Ex-Terra Colleagues

Terraform Labs founder, Do Kwon has been revealed as one of the pseudonymous co-founders behind the failed algorithmic stablecoin Basis Cash. The project was forced to shut down amid regulatory concerns. Do Kwon Was Behind the Failed Stablecoin Basis Cash According to a report from CoinDesk, Terraform Labs CEO Do Kwon was previously involved in stablecoin project Basis Cash under the pseudonym “Rick Sanchez.” Citing a former engineer at Terraform Labs, Hyungsuk Kang revealed that Basis Cash was, in fact, the first stablecoin project for Kwon. “Basis Cash wasn’t tested at the moment, and we weren’t even sure. Kwon wanted to just test it out. He said that this was a pilot project for doing that,” Kang told the crypto publication. Another Basis Cash builder who spoke on condition of anonymity confirmed that Do Kwon was indeed behind the stablecoin project. The failure of Basis Cash Basis Cash (BAC) was an early project in the world of algorithmic stablecoins. Launched in 2020, it was similar to UST, and was intended to be pegged to the value of the dollar through code rather than 1:1 backed by fiat or other collateral. However, it didn’t quite work as intended. In December 2020, one BAC was worth $155. It rapidly sank to levels close to $1 and it’s been in decline ever since. At the time of writing, BAC trades for $0.006.The post UST’s Founder Was Earlier Behind Failed Stablecoin Project: Ex-Terra Colleagues appeared first on Cryptoknowmics-Crypto News and Media Platform.