Open petition to Binance for reimbursement of USTC holders

General
19

It does look like they have posted something related to the SAFU Fund here:

As far as I understood from the post, the other exchanges who are holding USTC need to publish their wallet addresses so that the fund can be transferred to them.

The fund is still at 1 billion cause I think none of the other exchanges (which are not very legit) have that Insurance Fund wallet.

Binance must have told them to do it when they themselves did it and they have not done it all this while, and never offered it to their customers, like Binance did.

So no one is eligible for that fund.

This is my guess, but I may not be very far off from the truth.

Coming to the litigation part:

We can definitely go after Binance and everyone else as well (like TFL) who might be withholding our USTC funds.

Cause as far as I understand, after the crash, people got back 5 bucks after investing 100,000 (as an example). So this is clearly a case of embezzlement, on the part of the exchanges, and other entities involved, like TFL, cause they all promoted Luna and asked everyone to invest in it.

We can proceed with this, if we have a legal representative who is gonna agree to take it up.

I have already submitted a plan/prop to Prof. Kim to review, which makes provisions to appoint a legal counsel for the community.

We will probably need to wait a little bit before that is passed, and then we can take this up. We do have other cases to take up before this one. But this one is extremely important and I agree with you on that.

I am keeping a bookmark on this topic so that I can revisit this in a week or so, once my prop is up for discussion here on Agora, because my proposal needs to pass first to allow this proposal to be taken up by us.

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20

I agree with you and I subscribe your proposal.

I’m sorry, but I don’t know what you’re talking about.

Which one?

Binance SAFU fund update: Topping up SAFU to $1B | Binance Blog

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21

Since I have submitted my proposal for review, there is little I can talk about it currently, before Prof. Kim gives me feedback for it.

There is a case included in my plan - one that the community also would like resolution for most probably. That completely depends on them. But it is much smaller a case compared to this.

This is a big one, and I will research and prepare for this in advance.

I am not saying that we will go after Binance like they are criminals - that is never gonna be the intention. But we will do everything necessary and possible in our power to make customers whole again and restore whatever funds they lost during the crash.

Many cases are already running against DK, TFL and Binance. So there is nothing different or new that we will be doing even if we take this forward.

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22

if we run this case through governments their exchanges may be banned within countries or we will help get the trusted label for compliance
evidenced class action with multiple people, different countrys

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23

Thank you for your commitment. Please continue to keep us updated.
I will create the petition on change.org within a week and post it in the first post of this thread.

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24

Just experience. How much lawsuits peoples wins agains against Binance-Coinbase? In any case, no one will notice the petition at all. At a minimum, a large collective lawsuit is needed.

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25

Do you have any statistics to report? Or is it just your impression?
Feel free to take any initiative to reimburse USTC holders and I will support it.

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26

Hello,
I finally wrote the petition posted on change.org that should be signed by UST investors and the community at large to receive a refund directly from the various cryptocurrency exchanges.

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27

Already vote

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28

Signed. I like your enthusiasm. We shall definitely do something about this. We just have to be patient for now.

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29
  • Binance’s SAFU funds at 750m due to market dip.
  • Class action against Binance US and it’s conclusion will remove any possibility for reimbursment while trial is on-going.
  • Petition is never a bad idea, yet carries no legal power in itself.

Some news about the latest developments.

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30

As I reported above, Binance raised the SAFU fund again to 1 billion dollars.
I agree with the second and third points, however I think it is important to make the voice of the users heard, as any company is worthless without them.

Thanks for the update. This concerns the US, not the EU and the rest of the world. Unfortunately I’m not a lawyer and can’t say any more.
We shall see.

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31
  • You specifically pointed out 2 class-action lawsuits of which one was regarding Binance US.
    This was the latest update on the part you, yourself, pointed out.
  • True. 1.081b currently. Some crazy price appreciation today across all cryptos.

Good luck on bending the ear of Binance.

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32

Just because they are the only ongoing class actions that I know.

Thank you

33

Nobody wants a refund from someone outside! It’s not making any sense because Binance is already helping us a lot. It is not the case to expect something more of the burns.
I understand your sentiment but sorry this is not the solution…

34

Whoever promised that UST was a stablecoin lied (Binance activated earn via anchor a month before the collapse).
This is why I expect a payout from the exchanges, which may allow the corresponding circulating supply to be destroyed and thus greatly help the revival of Terrac and the project.

35

True, it was listed a month ago. But how could the binance team know that SMF would attack right after? What if it was part of FTX’s plan to wait for them to be listed before the attack?
The question to ask would be: where might the LUNA be now if ustc hadn’t been depegged?

36

At the moment, few people know what the truth is about the UST depeg. As far as we know, the SMF attack is only one of many speculations. In the future, we will probably know what really happened.
In any case, what is important is that Binance and other exchanges approved and provided earning products on a stablecoin that was in fact not stable at all.
This is why they have to reimburse users if they want to still be credible, but above all not to go to court and be forced to pay higher sums as well as lose their reputation.

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37

The LFG website with the recovery fund is no longer available. According to the wayback machine, the last snapshot is dated 06/01/2023.
A recent news, to be confirmed, seems to indicate that Do Kwon has withdrawn from that fund.

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38

Do Kwon was arrested and I hope we will soon know how things went with Terra in order to reimburse UST investors.

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