TechFlow news — Luna Foundation Guard (LFG) officially tweeted today: "Over the past few days, there has been significant market volatility in crypto assets. The uncertain macro environment lingering from last week across legacy asset classes is also reflected in market turbulence. Over the weekend, UST experienced notable directional flows relative to Terra, accompanied by similar volatility in LUNA and BTC. Although these flows have now stabilized, it remains prudent to prepare for potential future volatility. Under its mandate, LFG will actively defend the stability of the UST peg and the broader Terra economy, especially amid volatility in traditional markets and uncertain macro conditions."
Therefore, the LFG Council has voted to execute the following:
1. Lend BTC worth $750 million to OTC (over-the-counter) firms to help protect the UST peg.
2. As market conditions normalize, lend $750 million worth of UST to accumulate BTC.
Traders will deploy capital on both sides of the market to facilitate points 1 and 2, ultimately maintaining parity of the LFG reserve pool (measured in BTC) as market conditions gradually stabilize."
