Ethereum Creator: 'The Luna Incident Is Necessary'

 Vitalik Buterin, the founder of Ethereum, thinks the collapse of Luna is a necessary reminder for anyone entering the crypto space.

"In a way, the Luna incident is an important and healthy moment in the crypto space. It reminds people that the downside is real. You can't just build a system and pretend that it's not. negative will never happen," Buterin told Fortune.

Vitalik Buterin
Vitalik Buterin (left) during an event in California in 2018. Photo: Tech Crunch

According to the Ethereum founder, situations like the fall of Luna show that the crypto environment is still in its infancy. Even so, the removal is necessary to help purge shoddy projects, bringing sustainability to the crypto environment in the future.

In early May, when two of Terraform Labs' tokens, Luna and stablecoin UST, fell, Buterin said at the time that Terra should focus on reducing losses for retail investors, who account for more than 99% of the holders. own UST coin. “Sympathy and relief needed for small UST holders who had to hear about 20% interest nonsense from an influencer,” he wrote on Twitter.

Speaking of the ongoing "crypto winter," Buterin said it was predictable. “Cryptocurrency has had its ups and downs before, now and in the future it will still have its ups and downs,” the Ethereum founder stated. "The down period is certainly challenging, but it's also the period where the most meaningful projects are nurtured and built."

Last week, Bitcoin price at one point dropped to $17,000 per coin, the lowest since 2020. Meanwhile, Ethereum also lost the $1,000 mark, down 76% from its all-time high of $4,800 set. was established in November of last year.

Still, Buterin is confident that Ethereum "will continue to become a more successful and mature blockchain ecosystem, poised to fulfill the hopes and dreams of millions of people in the crypto space over the next decade." ".

Vitalik Buterin is a Russian programmer, born in 1994. He first proposed designing the Ethereum platform in 2013 at the age of 19 to create a common language for developing blockchain-based applications.

After raising $18 million during the 2014 ICO, the first official Ethereum version was released two years later with an initial supply of 72 million Ethereum coins. Ethereum's blockchain generation gives more freedom to developers and is easier to use. Buterin revealed in October 2018 that his main Ethereum wallet has 333,520 coins, or $367 million at the price of $1,100 each as of June 22.

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