{"id":61334,"date":"2022-05-12T11:14:52","date_gmt":"2022-05-12T08:14:52","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=61334"},"modified":"2025-09-05T11:33:35","modified_gmt":"2025-09-05T08:33:35","slug":"media-terraform-labs-chief-behind-failed-basis-cash-stablecoin-project","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/media-terraform-labs-chief-behind-failed-basis-cash-stablecoin-project\/","title":{"rendered":"Media: Terraform Labs chief behind failed Basis Cash stablecoin project"},"content":{"rendered":"

CEO Terraform Labs Do Kwon was one of the anonymous co-founders of the failed algorithmic stablecoin Basis Cash (BAC). CoinDesk reports this, citing sources.<\/p>\n

Launched in the second half of 2020, the coin relied for maintaining a $1 price on arbitrage of the native BAS token. A similar mechanism was used for the Terra ecosystem<\/a> \u2014 UST.<\/p>\n

In January 2021, the price of BAC fell below $1, a level it never recovered from. As of writing, the coin was valued at $0.006 (CoinGecko<\/a>).<\/p>\n

At its peak, BAC’s market capitalization stood at $93 million. In May 2022, UST lost its peg to the dollar<\/a>, at times trading below $0.30. The circulating supply of the stablecoin on the eve of the crash exceeded $18.6 billion.<\/p>\n

Former Terraform engineer Hyungsuk Kang [Hyungsuk Kang] told the outlet that Basis Cash was a byproduct of Terra’s founders, including Kwon.\u00a0<\/p>\n

\n

“Basis Cash had not been tested at that time; we weren’t even sure it would work,” noted the developer.<\/p>\n<\/blockquote>\n

According to him, Kwon described the project as a pilot.<\/p>\n

\"Media:
Screenshot from Basis Cash Korea Telegram chat. Data: CoinDesk.<\/figcaption><\/figure>\n

Kang and another anonymous former employee told CoinDesk that Kwon operated under the alias Rick Sanchez. The second co-founder’s nickname was Morty.<\/p>\n

The publication found that Basis Cash developers from Terraform modeled it on an earlier product called Basis. In 2018, the founder of that ‘stablecoin’, Nader Al-Naji, announced the closure of the project amid pressure from the SEC and the return of invested funding totaling $133 million.<\/p>\n

On May 11, Kwon unveiled a plan to restore the UST price<\/a>, as LUNA’s price fell below $1.<\/p>\n","protected":false},"excerpt":{"rendered":"

CEO Do Kwon of Terraform Labs was one of the anonymous co-founders of the failed algorithmic stablecoin Basis Cash (BAC). CoinDesk reports this, citing sources.<\/p>\n","protected":false},"author":1,"featured_media":61335,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[807],"class_list":["post-61334","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-stablecoins"],"aioseo_notices":[],"amp_enabled":true,"views":"29","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/61334","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=61334"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/61334\/revisions"}],"predecessor-version":[{"id":61336,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/61334\/revisions\/61336"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/61335"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=61334"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=61334"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=61334"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}