Binance, other major exchanges halve LUNA trading

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Binance, other major exchanges halve LUNA trading

The world's largest exchange by trading volume, Binance, has delisted its trading pairs for Terra's LUNA.

The exchange announced on Wednesday that it had canceled all pending orders, ceased trading, closed user positions, and conducted an automatic settlement of all LUNA trading pairs.

Binance decided to delist LUNA when its value fell by 100% after the UST stable coin was de-pegged from the dollar.

Several other exchanges have reached the same conclusion, and decided to delist the token, including Bybit, eToro, andCrypto.com.

Changpeng Zhao, CEO of the firm, revealed in a series of tweets why the exchange was suspending LUNA and UST trading. Some users may not be aware that Terra s developers are still minting new units of LUNA outside the exchange. If deposits were allowed, the minting would lead to a further crash of the asset's price.

Very disappointed in how this UST LUNA incident was handled by the Terra team. We requested their team to restore the network, burn the extra LUNA, and recover the UST peg. We have not received any positive response, or much response at all.

South Korean exchange Korbit told investors to watch their investments closely in LUNA. The token was temporarily suspended by another major exchange, Coinone.

The investment warning was put in place by Bithumb to warn investors who might want to get involved.

A decentralized finance protocol, Venus, has also announced that it is suspending its LUNA market trading because of the risks.

The official account of Terra has announced plans to correct the state of things by burning UST, but that may not be enough to remedy the network.

Terra has halted its network in order to prevent governance attacks due to severe LUNA inflation. The network has resumed its block production after releasing a patch.