Binance Boss Changpeng Zhao Skeptic On Terra Ecosystem Recovery And LUNA 2.0 Token

CEO Binance Changpeng Zhao. (consullcrypto)

JAKARTA – In the midst of the launch of the LUNA 2.0 token and developers' efforts to restore the Terra ecosystem, Binance boss Changpeng Zhao admits to being skeptical of the effort, reported by Cointelegraph.

“I try not to predict what people will do. [...] Many were skeptical. I am one of them,” said CZ in an exclusive interview with Cointelegraph.

Regarding the collapse of stablecoin TerraUSD (UST), CZ criticized the token's development team, Terraform Labs, not handling the crisis properly and it was shown as evidence of the weakness of the project that caused the crash.

However, the Binance crypto trading platform itself is still participating in trading LUNA 2.0 and its airdrop sharing. Despite CZ's criticism, Binance itself is trying to help platform users who have been affected by the drop in LUNA prices.

“We still need to ensure the continuity of public access to liquidity. [...] We have to support the revival plan with the hope that it will succeed,” he said.

The Binance boss argues that Terra's collapse should serve as a warning to other projects that rely on unsustainable business models and rely solely on big incentives.

“We have to really look at them fundamentally to measure that more revenue, more revenue generated than just incentive payments,” said the Binance CEO.