Seoul police are investigating reports of a “suspicious” cryptocurrency wallet that could be used to steal bitcoin by employees of the Terra insurance fund.
How informed A spokesman for the Seoul Police Department, law enforcement officials suggest that all bitcoins stolen from a “suspicious” cryptocurrency wallet previously belonged to the Luna Foundation Guard (LFG) fund, created by Terraform Labs to maintain the peg of TerraUSD (UST) to the dollar.
Over a period of time, LFG has accumulated cryptocurrency reserves to protect the UST’s peg to the dollar. As of May 7, the reserves stood at 80,394 BTC, about $2.9 billion. According to a report received by the police, as of May 16, LFG’s reserves were reduced to 313 BTC.
Earlier this month, Binance CEO Changpeng Zhao ordered his exchange’s investigation team to look into allegations made by insider FatMan against the founder of Terraform Labs and the Terra project team of fraud.
In response to reporters’ questions, Zhao said he could not confirm or deny the allegations until the exchange’s investigation team verified each of them.
Source: Bits
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