Billionaire founder of crypto exchange Binance says he’s ‘poor again’ after its luna holdings — once worth $1.6 billion — crashed and are now worth just $2,200

Billionaire founder of crypto exchange Binance says he’s ‘poor again’ after its luna holdings — once worth $1.6 billion — crashed and are now worth just $2,200

Changpeng Zhao, the founder of Binance, joked that he became “bad once more” after the cryptocurrency luna took a dive.REUTERS/Darrin Zammit Lupi

Binance's luna holdings drop from $1.6 billion to $2,200. Here's what's  next for Zhao

After the crypto token luna crashed, Binance’s founder, Changpeng Zhao, tweeted, “terrible again.”

Binance’s luna holdings were as soon as worth $1.6 billion however are now worth about $2,200.

Zhao remains a billionaire, in step with Bloomberg, and Binance is the biggest crypto trade.

Changpeng Zhao, the wealthy founder of the crypto exchange Binance, joked on Tuesday that he turned into “poor again” after the exchange’s investments in the cryptocurrency luna crashed to about $2,200 from $1.6 billion a month ago.

In a tweet on Monday, Zhao said Binance, the world’s biggest crypto exchange, held 15 million luna tokens. He said Binance received those tokens in alternate for its $3 million funding in 2018 within the Terra community that luna is primarily based on. He added that its luna tokens have been “in no way moved or bought.”

Zhao did no longer straight away reply to Insider’s request for comment.

Binance’s luna holdings have been really worth $1.6 billion in early April at the token’s height rate. The coin traded at about $0.0001468 on Thursday.

Luna’s cost has plunged inside the past weeks.

Its implosion started out whilst its sister token, terraUSD, lost its peg to the us dollar; the two tokens’ valuations are tied to each different. when terraUSD’s fee fell, investors rushed to sell off their holdings in a situation much like a bank run. TerraUSD’s plunge, in turn, dragged down luna’s price.

the two tokens’ free fall became estimated to have wiped out more than $50 billion in paper cost, Insider mentioned on Sunday.

Zhao on Monday advised the Terra team to reimburse its retail investors first. “to lead by way of instance on shielding users, Binance will let this go and ask the Terra venture crew to compensate the retails customers first, Binance closing, if ever,” he tweeted.

in spite of his remarks, Zhao, 45, clearly isn’t always broke. Bloomberg predicted his net worth at approximately $14.8 billion as of Thursday. consistent with Forbes, most people of his wealth likely comes from his anticipated 70% stake in Binance.

Fortune stated in March that Binance’s market cost was estimated to be six times that of its nearest competitor, Coinbase. A report published by the financial-services consultancy Opimas stated Binance took in about $14.6 billion in trading fees closing year, MarketWatch reported.

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