Recent events have shocked the industry: huge amounts of people were caught out in the network collapse of Terra (LUNA). The long-lasting effects of the incident will likely be unravelled in the coming months.
Internally we have spent the past year thinking about every possible risk and outcome of using Anchor (which is built on Terra) as the first underlying interest generating product on our web app.
As market conditions were deteriorating our management team made the prudent decision to withdraw funds, meaning that all user balances were preserved.
The underlying infrastructure we have been building is designed to support multiple blockchains. As such, the only impact of recent events is a slight delay of public launch while we fast-track stablecoin payment rails.
From the beginning we have taken a strong risk and compliance approach to ensure safety of user funds. This is essential as the technology we are building on is cutting edge and comes with both known and unknown risks.
Overall, we believe this disruption will ultimately strengthen the ecosystem and we'll continue to advocate for people to have the choice between the traditional financial system and digital assets.