Criticizing the path followed by the Terra team in the collapse of UST and LUNA, which plunged the crypto money markets into chaos, Binance CEO expressed his dissatisfaction on Twitter.
Billions of LUNA prints have been made, with Terraform Labs, the team behind the Terra ecosystem, voted to re-stabilize the UST. In this process, Terra validators suspended the Blockchain network and blocked transactions from exchanges.
Users who were unaware of the huge volumes of LUNA printing with the decision taken would incur greater losses as they continued to purchase LUNA at low prices. Binance CEO said in a statement on Twitter that he removed LUNA trading from the platform in order to protect investors.
Changpeng Zhao said in a statement that in general, Binance has a policy of staying neutral towards crypto projects, but they made some recommendations in the Terra crisis.
Binance CEO stated that they did not receive a positive response from the team, while they asked the team to restore the network, burn the overprinted LUNA and recover the UST stabilizer.
On the other hand, Zhao, who made comparisons by saying that the team acted responsibly in the Axie Infinity incident and communicated closely with Binance, argued that the $ 550 million Ronin hack event crisis was well managed.
Binance CEO added that removing LUNA trading from the platform was not an easy decision. In addition, users reacted sharply to this decision of Binance. Among the criticisms, there was the comment that the decision was made late while the investors had already made great losses, while some investors argued that the delist decision was wrong.
In the announcement made by Binance, it was stated that LUNA and UST were also removed from the exchange's passive income generation platform Binance Earn. Users' LUNA and UST cryptocurrencies on Binance Earn were automatically transferred to their spot wallets.