I made a video which outlines specifically how Do Kwon / LUNA project defrauded “post-snapshot” or “post-attack” investors. Let us recall that during the epic collapse of UST, LUNA was crashing even faster. That was because the team decided the answer to the problem was to sell virtually infinite amounts of LUNA until eventually the outstanding UST supply became manageable.
This required new investors to purchase the newly minted LUNA. The underlying value proposition in this case is that the new investors would have a much larger stake than previous investors. They took on massive risk, the vast majority took huge losses on their purchase of LUNA. The LUNA team then compounded their losses by essentially diluting them further by giving them a 10% allocation in the continuation of the project (versus a 35% allocation to “pre-attack” holders).
Essentially, they split LUNA tokens into two different classes of tokens with an arbitrary cutoff date (May 7). This was not communicated to new investors. The team directly sold these new tokens to the public. They even went so far as to increase the speed of the printing of new LUNA tokens, meaning they explicitly approved the sale of new LUNA to new investors and viewed it as imperative to saving the project.
In my mind, this amounts to fraud.
Full video: https://www.youtube.com/watch?v=dV0saFaIsEA