On-chain data shows Terra backer ‘Hashed’ lost $3.5 billion from the $LUNA crash
Terra backer ‘Hashed’ lost $3.5 billion from the $LUNA crash
According to reports, Hashed and Delphi experienced devastating losses in the Terra crash, losing an estimated $3.5 billion and $10 million, respectively.
The Terra ecosystem’s collapse has also dragged down numerous investors and large companies. Aside from the investors who lost their life savings in the token, a large number of investors who backed the projects have also spoken out about their losses.
Hashed and Delphi Digital, two big Terra backers, detailed how the downturn affected their balance sheets.
In a blog post, Delphi Digital, a major crypto research firm, expressed concern regarding the UST and LUNA structures. Furthermore, the Luna Foundation Guard asset backing, which may help prevent such a disaster, was their only source of trust.
“We always knew something like this was possible, and we tried to stress the risks to a system like this in our research and public commentary, but the fact is we miscalculated the risk of a “death spiral” event coming to fruition. We’ve taken some heat for this over the last week, and we deserve it. The criticism is fair and we accept it.”
According to the firm, it bought LUNA for 0.5% of its net asset value and expanded its stakes as LUNA’s worth climbed. In February 2022, Delphi disclosed a $10 million investment in LUNA, which is now nil.
Terra is also backed by Hashed, an early-stage venture firm located in San Francisco and Seoul. Terra had used the company’s help to raise $25 million in a 2021 venture round.
Despite the fact that the firm hasn’t revealed the amount of the effect, it maintains that it is “financially sound.” However, on-chain data reports reflect a different side of the story. On the Columbus 3 mainnet, the firm had spent around 27 million LUNA, 9.7 million on the Columbus 4 mainnet, and 13.2 million on the current Columbus 5 mainnet.
An analysis of CoinMarketCap’s price data from April 17 showed a $3.5 billion loss. The extent to which LUNA’s death had an effect is yet unknown. However, it is apparent that the number of those afflicted remains considerable.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join CoinCu Telegram to keep track of news: https://t.me/coincunews