3 years ago
Tracy Wang is simply a elder newsman astatine CoinDesk. She owns BTC, ETH, MINA, ENS, assorted stablecoins, and immoderate NFTs.
Avalanche, a smart-contract blockchain, said successful a tweet that Luna Foundation Guard (LFG) – the entity down the reserve money acceptable up to backstop the Terra blockchain's now-failed UST stablecoin – has “disclosed nary plans” for the 2 cardinal AVAX tokens presently sitting successful its treasury.
"Given the projected Terra concatenation fork, LFG has disclosed nary plans to usage the AVAX," according to the tweet. “Should immoderate income beryllium contemplated for the LFG reserves, the Avalanche Foundation is acceptable to enactment with LFG connected a sensible trading strategy.”
With the token's terms fluctuating astatine $30 per token, the marketplace worth of the AVAX stash is astir $60 million, making it the second-largest holding successful LFG’s dwindling $240 cardinal treasury.
Avalanche said successful the tweet that it provided the update due to the fact that "some members of the Avalanche Community person inquired astir details astir the $AVAX reserves."
Crypto traders person speculated connected what the plans were for the AVAX tokens – and what the marketplace interaction mightiness beryllium from immoderate sales.
The announcement comes arsenic entities with beardown ties to the Terra ecosystem, including the $8 cardinal layer-1 blockchain Avalanche, are facing demands for transparency from the assemblage arsenic they reckon with the market events of past week.
Additionally, Avalanche revealed Terra blockchain developer Terraform Labs (TFL), holds 1.1 cardinal AVAX tokens successful different tweet.
TFL’s tokens are taxable to a one-year fastener up, according to the tweet.
The AVAX tokens held by TFL and LFG represented 0.5% and 0.9% of the token’s play volume, according to Avalanche.
"The AVAX is presently immobilized," according to the tweet.
CoinDesk reported successful April that the Luna Foundation Guard and Terraform Labs (TFL) – some organizations supporting the Terra blockchain – announced they had collectively acquired $200 cardinal worthy of Avalanche’s AVAX tokens from the Avalanche Foundation.
In exchange, the Avalanche Foundation received $100 cardinal worthy of LUNA from Terraform Labs and $100 cardinal worthy of the stablecoin UST from Luna Foundation Guard.
As of Thursday afternoon, LUNA was trading astatine $0.00013 and UST astatine $0.08, marking a melodramatic diminution successful the tokens’ value. Thursday's tweet did not code the presumption of the Avalanche Foundation's Terra-related tokens.
A spokesperson for Avalanche did not instantly respond to a petition for comment.
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Tracy Wang is simply a elder newsman astatine CoinDesk. She owns BTC, ETH, MINA, ENS, assorted stablecoins, and immoderate NFTs.
Tracy Wang is simply a elder newsman astatine CoinDesk. She owns BTC, ETH, MINA, ENS, assorted stablecoins, and immoderate NFTs.
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