Following the collapse of the TerraUSD algorithmic stackcoin, which tragically lost parity with the U.S. dollar earlier this year, the issuing organization Luna Foundation Guard said it would not stop trying to compensate users.
Nevertheless, the wait for compensation may be delayed, as LFG cited “ongoing and potential litigation” as reasons for delaying its plan. There is currently no timeline for resolution, while legal issues remain unresolved, the company wrote in a tweet.
The company’s reserves, which once exceeded $60 billion, are now believed to be down to $105 million, so the chances are already slim.
Meanwhile, South Korean prosecutors investigating Terraform Labs have arrested the head of the company’s general business operations and intend to detain six more people.