South Korea’s ruling party lawmaker Yun Chang-hyun said Terraform Labs founder Do Kwon should be called in for a parliamentary hearing on the collapse of the company’s stablecoin and cryptocurrency.

See related article: News of LUNA’s demise greatly exaggerated

Fast facts

  • Yun at Tuesday’s National Assembly session said investors had been damaged by the debacle and urged other lawmakers to support calls for a hearing, according to local media reports.
  • The right-wing lawmaker said the delisting of the UST stablecoin and LUNA crypto in domestic exchanges raised questions. The Coinone, Korbit, Gopax exchanges halted transactions on May 10; Bithumb on May 11; but Upbit waited until May 13.
  • Investors are suffering losses while legislation for crypto investor protection is being delayed, Yun said. 
  • Koh Seung-beom, chairman of the Financial Services Commission (FSC) said at the session that it is difficult for regulatory bodies to conduct detailed examinations of the Terra-LUNA crash due to limited legislation.

See related article: South Korean authorities cite LUNA debacle to call for speedier crypto oversight