LUNA, UST re-listed on Binance – ‘there is progress’

Binance said it will relist LUNA/BUSD and UST/BUSD have been re-listed after being taken down early May 13.

Following a historic week in crypto where UST de-pegged to 11 cents and LUNA lost 99.999% of its value, the world’s largest exchange has reactivated trading in the BUSD pairs.

Binance will resume spot trading for the following trading pairs at 2:00pm UTC, May 13 2022.

🔸 LUNA/BUSD
🔸 UST/BUSDhttps://t.co/T4oD0dQdHT

— Binance (@binance) May 13, 2022

Both coins were delisted with the CEO of Binance, CZ, stating that there had been almost no communication from the Terra team regarding a recovery plan. He noted that the decision was made “to protect our users at this time.”

Trading was halted for less than 24 hours before it was restarted. The relisting was delayed by several hours but is now live, with LUNA trading around $0.00007 and UST at $0.09. CZ urged “extreme caution” when trading these coins, saying:

“Was in a no-phone meeting for 2hrs. At least, there is progress.

Luna blockchain resumed, no more minting.

And deposits, withdrawals and trading resumed. Trading is important for existing holders.

Please do NOT buy a coin just because trading is on. DYOR! EXTREME caution!”

The nature of the “no-phone meeting” or who was involved is unknown. However, it appears that extremely sensitive information may have been discussed due to the removal of any potential recording devices.

In a previous tweet, CZ also condemned how the matter was handled, declaring:

“I am very disappointed with how this UST/LUNA incident was handled (or not handled) by the Terra team.”

Currently, several proposals are being reviewed by the Terra community to attempt to salvage what is left of the ecosystem. However, there have been no confirmed reports of what will be done.

The number of LUNA tokens currently in circulation is 6.5 trillion coins, with a market cap of $600 million. As CZ declared there would be no more minting, it is presently unclear how the UST peg is being maintained.

UST has always been pegged to $1 worth of LUNA; if LUNA is not being burned or minted in relation to UST, then how can it retain a peg?