Binance CEO Doesn't Think LUNA's Recovery Plan Will Work

Binance CEO CZ has revealed that he does not think Do Kwon’s plan to save LUNA will work. Do Kwon announced a proposal to fork LUNA to a new version to save the ecosystem on May 13. CZ announced:

“This won’t work. – branch does not give any value to the new branch. That is an illusion. – one cannot reverse all transactions after a previous snapshot, both on-chain and off-chain (exchanges).”

He goes on to ask where the BTC LFG held went after it was lent to market makers. Do Kown has stated that a full report on this is coming in and LFG is documenting the usage. He asks for “patience” as the team is “juggling multiple tasks at the same time.” CZ also compares the strategy to trying to fork Bitcoin on the ATH and hoping that value will be retained.

Do you really think you can fork BTC on the snapshot of November 18, 2021, and the new fork will have the new BTC at $68,000 (the price of that day)?

— CZ 🔶 Binance (@cz_binance) May 14, 2022

CZ also notes that he’s never had UST and doesn’t “know it very well,” stating that “he’s usually busy with other things, but now he’s being dragged into this.” His disdain for Do Kwon and the Terra Network is evident in his recent tweets.

He even posted a link to a dead cat bounce Explanation thread on Binance Academy in reference to LUNA jumping after Do Kwon released his proposal.

He also appears to take some credit for the Terra blockchain reset saying “If we don’t dwell on the problem, the Terra blockchain may still be in ‘stopped’ mode, or worse with super minting…”

The validators have not yet selected any proposals, but the community continues to discuss them through the Terra forums.