From Silence to Humbling Hell - Major Terra Backers Keep Low Profile as the Small Guy Is 'the Biggest Loser'

cryptonews.com:

Major Terra (LUNA) backer Mike Novogratz of Galaxy Digital is still largely silent on the downfall of LUNA and the terraUSD (UST) algorithmic stablecoin, while some other institutional investors have put out vague statements that called the incident “hell for our entire community” and “incredibly humbling.”

For Mike Novogratz in particular, the collapse of UST is believed to have hit him hard, given how passionately the former Goldman Sachs banker has promoted LUNA and the surrounding ecosystem. In January this year, Novogratz even seemingly got his own LUNA tattoo and shared a picture of it with his 460k Twitter followers.

Since the de-pegging of the UST stablecoin started on May 9, however, Novogratz has not said another word on Twitter – the social network he has typically previously posted on daily.

The only comment that has been heard from him was from an earning call for Galaxy Digital on May 9, when Novogratz said that he expects the crypto market to be “volatile and difficult” going forward. He added in the call that algorithmic stablecoins were set for a “really big test.”

On the same day, UST was already falling to USD 0.75, before continuing its decline to USD 0.1 within four days.

Meanwhile, Galaxy Digital said on Friday last week that it was bracing for a USD 300m loss this quarter. And while the statement said that the company’s treasury “does not utilize algorithmic stablecoins,” it made no direct mention of LUNA or UST.

Although Novogratz was perhaps the most high-profile backer of LUNA, the project also had many other backers from the institutional world. Among them were well-known investment firms from the crypto world such as Pantera Capital, Jump Crypto, Three Arrows Capital, and others.

“The biggest losers