Terra Luna Classic (LUNC) has jumped double-digits over the past day, in a late reaction to this week’s lawsuit filed by Terraform Labs' bankruptcy administrator against trading firm Jane Street. LUNC surged 15.5% over the past 24 hours and is up nearly 30% over the past two weeks, according to CoinGecko data. The sudden uptick was driven by spot buyers, with derivatives data showing open interest climbing from $100 million to $160 million, per Velo data. As the rally accelerated, futures' cumulative volu ...

On Feb. 23, The Wall Street Journal reported that the Terraform Labs bankruptcy administrator has filed a lawsuit against Jane Street Capital, accusing the New York-headquartered quantitative investment firm of insider trading and hastening the collapse of the crypto firm. Founded by Do Kwon in 2018, Terraform Labs was once one of the leading crypto companies. But the project's twin cryptocurrencies, TerraUSD and LUNA, collapsed in 2022 and even led to investor losses worth an estimated $40 billion. Th ...

Group 1 - Bitcoin experienced a nearly 3% increase, reaching around $65,000, following speculation that Jane Street had halted a selling strategy that was believed to suppress price rallies [1][5] - The pattern of Bitcoin's decline during the first hour of U.S. trading has been observed in over 60% of sessions since early November, with typical losses of up to 3% [2][3] - Allegations against Jane Street include claims of systematic selling of Bitcoin at 10 a.m., which some traders believe has been capping potential rallies [3][5] Group 2 - Jane Street is currently facing legal scrutiny related to the 2022 collapse of Terraform Labs' TerraUSD stablecoin, which resulted in a loss of approximately $40 billion in market value [7][8] - An 83-page complaint has been filed against Jane Street, accusing the firm and its employees of insider trading and market manipulation prior to the collapse of TerraUSD [8] - Despite the ongoing speculation regarding Jane Street's trading practices, volatility around 10 a.m. Eastern Time is noted to be a common occurrence in global markets [9]

高频量化交易巨头Jane Street正面临一项重大诉讼，其被指控利用内幕信息抢跑交易并寻求低折扣抄底，从而加速了Terra生态系统高达400亿美元 的崩盘，并推动了2022年全球加密货币市场的"寒冬"。 据《华尔街日报》及曼哈顿联邦法院的公开文件显示，Terraform Labs破产计划管理人Todd Snyder已正式起诉Jane Street、其联合创始人Robert Granieri以及员工Bryce Pratt和Michael Huang。诉讼指控该机构利用私密的内部沟通渠道获取未公开的重大资金动向，并在市场不知情的情况下完 成大规模抛售。 （Jane Street涉嫌加密货币内幕交易时间线） 建立"后门"与非公开信息获取 根据法庭文件，Jane Street与Terraform的直接交易关系可追溯至2018年，但双方在代币交易上的深度纠葛始于2022年2月。 当时，Jane Street派遣曾在Terraform担任实习生的Bryce Pratt，负责建立与前同事的沟通渠道。诉讼指出，Bryce Pratt与Terraform的核心工程师及业 务发展主管建立了一个名为"Bryce's Secret ...

The Terraform Labs bankruptcy estate has sued quantitative trading giant Jane Street, alleging the firm used non-public information to profit as the TerraUSD stablecoin collapsed in May 2022, according to a docket filed yesterday with the New York Southern District Court. In a report about the lawsuit by the Wall Street Journal, Terraform Labs’ court-appointed administrator, Todd Snyder, stated that Jane Street “abused market relationships” to short the ecosystem during its death spiral, mirroring similar ...

Bitcoin extended its decline on Tuesday, putting the token on course for its steepest monthly drop since the industry suffered a slew of corporate collapses in 2022. The original cryptocurrency fell as much as 2.64% to $62,858, and was hovering around $63,330 in early morning in New York. It’s now down more than 19% in February, set for its worst monthly performance since June 2022. That year, the implosion of TerraUSD, a stablecoin project, triggered a daisy chain of failures that included crypto hedge f ...

据 WSJ，法院指定的 Terraform Labs 清算管理人 Todd Snyder 已在纽约联邦法院起诉 Jane Street 及其联 合创始人 Robert Granieri 与两名员工，指控其利用来自 Terraform 内部人士的重大非公开信息进行抢先 交易，从中牟利并加速公司崩溃。诉状称，Jane Street 通过前 Terraform 实习生 Bryce Pratt 建立私下沟 通渠道获取机密信息，并在 2022 年 5 月 7 日 Terraform 从 Curve 流动性池撤出 1.5 亿枚 TerraUSD 后不 足 10 分钟内同步撤出 8,500 万枚 UST；随后继续利用相关信息交易。 （来源：吴说） 来源：市场资讯 ...

Core Insights - The stablecoin market is currently dominated by USD-pegged stablecoins, which account for approximately 99% of the total market capitalization of over $306 billion, despite the emergence of alternative models [6][19] - The collapse of algorithmic stablecoins like TerraUSD has led to a cautious approach towards purely algorithmic models, with a shift towards stability through real liquidity and cross-chain reliability [1][7] - There is growing interest in diversified stablecoin designs, such as those pegged to baskets of currencies or commodities, as a means to reduce reliance on the U.S. dollar [8][14] Stablecoin Models - Algorithmic stablecoins have faced significant scrutiny following high-profile failures, leading to a preference for models that utilize collateral and liquidity [1][7] - Non-USD stablecoins have struggled to gain traction, with only three in the top fifty by market cap, highlighting the dominance of USD in the stablecoin ecosystem [3][6] - Tether's Alloy, a token over-collateralized with gold, represents an attempt to diversify away from the dollar, but has not gained significant popularity, with a fully diluted valuation of under $50 million [8][9] Market Dynamics - The dollar remains the primary reserve currency, but its long-term dominance is increasingly questioned, with geopolitical factors pushing discussions around de-dollarization [4][19] - The stablecoin market's reliance on USD is partly due to inertia and convenience, as institutions find it easier to adopt familiar USD-pegged models [5][19] - The potential for basket-pegged stablecoins to provide more stability in volatile markets is recognized, especially in countries with high inflation [14][15] Future Outlook - There is a belief that as political tensions rise, the trust in the dollar may decline, potentially leading to greater de-dollarization and a more diverse stablecoin landscape [18][19] - The success of alternative stablecoin models will depend on market acceptance and the ability to provide long-term stability over short-term convenience [19][20] - The evolution of stablecoins may lead to a coexistence of USD-backed and local stablecoins, balancing global liquidity with local monetary needs [20][21]

Core Points - The article discusses the sentencing of Do Kwon, the founder of Terraform Labs, to 15 years in prison for his role in the collapse of the $40 billion cryptocurrency project in 2022 [1][6] - Judge Paul A. Engelmayer highlighted the complexity of human nature, noting the contrast between Kwon's public persona and his private actions [2][6] - The judge received numerous letters from Kwon's friends and family, which portrayed him as a generous person, but ultimately, Kwon's actions led to a longer sentence than the prosecution's request [1][6] Group 1: Sentencing Details - Kwon was sentenced to 15 years, which is 3 years longer than the prosecution's request of 12 years [1][6] - The judge indicated that he could have imposed an even longer sentence [1][6] - The sentencing was based on Kwon's fraudulent actions, which were described as "shocking" and "despicable" [3][7] Group 2: Fraudulent Activities - Kwon was aware that his algorithmic stablecoin, TerraUSD, survived a market crash in May 2021 due to secret assistance from an external trading firm [3][7] - He chose to engage in fraud by lying to fans and investors about the stability of the token [3][7] - Victims of the fraud submitted 315 letters to the court, with some expressing suicidal thoughts after the collapse of Terra [3][7] Group 3: Defense and Financial Disclosure - The defense's decision not to disclose Kwon's financial statements was seen as detrimental to their case [4][8] - Kwon owes millions to the U.S. Securities and Exchange Commission, claiming he has no money to pay [4][8] - The defense attempted to draw parallels to other cryptocurrency figures who received pardons, emphasizing that Kwon's case lacked political lobbying [4][8] Group 4: Personal Reflections and Character - Kwon's letters to the court, including one to his daughter, were described as beautifully written and reflective of his character [1][9] - Family members portrayed him as someone who would not have engaged in fraud if he had intended to deceive from the start [9] - Kwon expressed regret for leading the community astray due to his arrogance, acknowledging his failures in a letter [5][9]

Market Overview - Ether dropped more than 3% while Bitcoin slightly increased, maintaining the $90,000 level, as US equities pulled back [2] - For the week, Bitcoin and Ether saw gains of under 1% and nearly 1.5% respectively, while XRP fell under 2% [2] Legal Developments - Doan, co-founder of Terraform Labs, was sentenced to 15 years in prison for orchestrating a $40 billion fraud related to the failed stablecoin TerraUSD [3][4] - In addition to the prison term, he was ordered to forfeit over $19 million from his illegal activities [5] Prediction Markets Coalition - A coalition for prediction markets has been formed, including members like Crypto.com, Coinbase, and Robinhood, aiming to promote safe access to these markets [6] - The coalition reported nearly $28 billion in combined trading volume through October [6] Tokenization Services - The Depository Trust and Clearing Corporation (DTCC) received a no action letter from the SEC, allowing it to offer tokenization services for real-world assets for three years [9][10] - The initial focus will be on tokenizing the Russell 1000 index, treasuries, and ETFs tracking major indices like the S&P 500 and NASDAQ 100 [19][20] Industry Engagement - DTCC aims to engage with member firms to explore blockchain needs and client demands, leveraging the regulatory clarity provided by the SEC [25][30] - The industry is in a discovery phase regarding the integration of blockchain technology, with a focus on maintaining the integrity of the financial services system [29][31]