Nassim Taleb Says Do Kwon Is More Dangerous Than Bernie Madoff2 min read
Since the collapse of the Terra ecosystem brought down the entire cryptocurrency market and made LUNA, which was considered one of the biggest cryptocurrencies on the market, fall 99.9%, the creator of Terra (LUNA) Do Kwon, came to be considered a scammer.
Before that, he was considered one of the most innovative people on the market. But he saw his status plummet and he was accused of numerous frauds, including responding to police inquiries in South Korea.
Investigation against him began after the UST/LUNA case was reported around the world. Thousands of people in South Korea reported having lost all of their savings in the business.
In addition, Do Kwon has been accused by leading figures in the crypto world of not being transparent about Terraform Labs’ spending and management, as well as mismanaging the entire ecosystem.
Now, also against Do Kwon is former options trader and risk analyst Nassim Taleb. He said that Terra’s founder should have been arrested before launching Luna 2.0.
Do Kwon is more dangerous than Madoff
According to Taleb, the arrest would have prevented Do Kwon from perpetuating another cryptocurrency. That’s because, for Taleb, both LUNA and LUNA 2.0 are nothing more than a Ponzi scheme. In other words, a financial pyramid.
“He (Do Kwon) should have been arrested by now. That would have prevented the launch of their new scheme called Luna 2.0,” Taleb said.
The author of “The Black Swan” claimed that open ponzis like Terra are more dangerous than opaque Bernie Madoff-style ones.
Madoff, the former chairman of Nasdaq, secretly ran a Ponzi scheme that defrauded his victims out of billions of dollars for about 17 years.
In 2009, Madoff was sentenced to 150 years in prison after pleading guilty to 11 criminal charges. Madoff died in prison last year, aged 82.
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