Indian crypto exchanges face crisis as Indians lose big on Luna crypto crash

livemint.com:

Indian crypto exchanges are facing a crisis after cryptocurrency Luna crashed to nearly zero on May 13. The crypto token, which is part of the Terra blockchain, became a casualty of the recent fall in the prices of major cryptocurrencies. Two industry executives said that exchanges were inundated by emails and tweets from users blaming them for the crash. Many users also took to Twitter to express their disappointment.

To be sure, Indian exchanges had delisted the Luna and UST tokens early on May 13. The Luna token’s value plummeted by nearly 100% over the month of May. However, while some users blamed exchanges for not allowing them to buy Luna, others were worried about their investments being stuck in the token.

According to a senior executive from a top exchange, Luna is amongst the most popular cryptocurrencies on Indian exchanges. Two other industry executives also said the same, adding that the popularity could mean that some users will want to “buy the dip" in hopes that the token would recover eventually, while others will have made huge losses.

“I am from India I invested 1500$ in terra luna . My entire life savings washed away in 24 hours. This is small for you. But for me it is not," one user who goes by @Chandra64766902 tweeted to Do Kwon, the founder of the Terra platform, which hosts the Luna and UST tokens.

Another user, @MahabharataS, however asked where they can buy Luna, on Twitter.

The popular cryptocurrency’s crash in India seems to have caused confusion amongst users in more ways than one. Some users blamed platforms like CoinDCX for delisting the token without any announcement. Crypto exchanges, though, had tweeted and emailed their users before delisting the token.

CoinSwitch Kuber, for instance,