Breaking Up with Blockchain
The drama surrounding Terraform Labs continues to unfold like a reality show episode no one asked for. Recent reports indicate that several high-profile members of the blockchain developer’s legal team have exited the company, sparking rumors, theories, and a healthy dose of speculation.
Who’s Gone?
LinkedIn has turned into the digital soapbox for Terraform’s legal strife, with general counsel Marc Goldich, chief litigation and regulatory counsel Noah Axler, and chief corporate counsel Lawrence Florio updating their statuses to reflect a clean break from the firm as of May 2022. All three joined the team in what could now be seen as their ill-fated bid to ride the volatile crypto wave.
The LUNA Plunge: A Legal Nightmare
The timing of these departures is as suspicious as a cat around a goldfish bowl. The price of LUNA plummeted to an astonishing $0.00 in just two weeks. Not only that, but the stablecoin market also felt the heat, with Tether (USDT) and TerraUSD (UST) doing their own versions of the limbo: dropping lower and lower. Just to put things in perspective, UST has seen a drop of over 88% since May 8. Bye-bye, financial stability!
Do Kwon’s Daring Rescue Mission
In true soap opera fashion, Terraform co-founder Do Kwon suggested a “rescue plan” that included minting more UST than ever before. Meanwhile, their validators hit the brakes on network activity not once, but twice, amid this turmoil. Kwon has since floated the idea of a blockchain fork, presumably to save face or, perhaps, the entire ecosystem which appears to be on a fast track to oblivion.
Legal Quagmire or Ethics Quandary?
Prior to these departures, calls for legal action against Kwon were echoing louder than a dentist’s drill. The legal faction of Terraform Labs may have felt the ethical squeeze as crypto users confronted eye-watering losses. Some speculate that their exits stem from moral dilemmas – I mean, who wouldn’t want to steer clear of defending the Titanic while it’s in free fall?
Fleeing the Sinking Ship
If the rumors are true and these legal wizards have indeed jumped ship over concerns regarding the LUNA and UST debacle, they aren’t the first in the crypto realm to call it quits when the waters got choppy. Remember Joseph Delong from SushiSwap? He navigated away citing “chaos” just a year earlier. Talk about lifeboat mentality!
Unanswered Questions
As the saga unfolds, Cointelegraph reached out to Goldich, Axler, and Florio for their perspectives but received radio silence in return. Did they really resign because of ethical concerns? Or did they just want to avoid leading a class-action lawsuit against their own company? The intrigue continues.
