I recently recalled the story of Do Kwon. This guy once had a net worth of over $3 billion, but within a week, $4.5 billion in assets vanished into thin air. When it comes to Do Kwon's net worth, the dramatic fall from peak to trough is truly heartbreaking.

This Korean entrepreneur comes from a good background, with a Stanford computer science degree, and previously worked as a software engineer at Apple and Microsoft. In 2018, he founded Terraform Labs, which attracted top investment firms and crypto funds during its funding stage, raising over $50 million. The future looked bright.

In 2020, Terraform launched UST, an algorithmic stablecoin, which theoretically maintained its peg to the dollar through the LUNA token. Sounds clever, right? But this guy did some shady things. They forged大量交易 to create a false sense of prosperity, and Kwon even openly said he wanted to create fake transactions that looked real, promising that people wouldn't be able to tell the difference. This kind of approach was risky from the start.

Before the crash, Kwon was still bragging, betting that Luna wouldn't fall below a certain price, and guaranteeing that UST wouldn't depeg. But in May 2022, Terra's Anchor Protocol started lowering stablecoin deposit interest rates, which scared off investors. UST's arbitrage mechanism responded slowly, and exchanges even paused withdrawals. LUNA's supply was infinitely diluted, causing its price to spiral downward. As the Curve liquidity pool's automated mechanism created larger and larger discounts, UST finally depegged completely, and LUNA crashed along with it.

Now, LUNA's price has fallen to just a few cents per coin. From a net worth of billions to worthlessness, Do Kwon has demonstrated the risks of the crypto market with real actions. This story reminds everyone that no matter how clever the design, it can't withstand human greed and deception.