Karak denies Terra Classic community accusation that he stole 200 million USTC

Members of the Terra Classic community have accused Andalusia Labs, the company behind the Karak re-pledging agreement, of stealing 200 million USTC tokens (worth about $7 million at the time) from the Terra ecosystem a few months after its collapse in 2022. Terra Classic voted to return the funds used to provide insurance for UST through Ozone and recovered 800 million USTC controlled by Terra community's multi-signature wallet. However, Karak denies stealing the tokens and responds that the tokens were "granted" by the Terra Foundation and did not involve user funds, and does not recognize the proposal for return. The parent company behind Karak, Andalusia Labs, completed a $48 million financing round in December last year with a valuation of over $1 billion.