Token guide
UST (TerraUSD) losses and your Terra claim
If you lost money in TerraUSD (UST, now USTC) in May 2022, that is a loss the Terraform Labs estate recognizes: the public FAQ lists UST among the Terra ecosystem assets whose losses count as Crypto Loss Claims. The authoritative list is Schedule I, the List of Eligible Loss Cryptocurrencies, from the claims administrator, Kroll.
Below: what UST was, what happened to it, how the loss became a claim, and how that claim is sold.
Facts checked
What UST was
TerraUSD (UST) was the main stablecoin of the Terra blockchain. Unlike dollar-backed stablecoins, it held no dollars in reserve. It was designed to keep its $1 value through a two-token system with LUNA: 1 UST could be swapped for $1 worth of newly created LUNA, and $1 worth of LUNA for 1 UST.
Many holders kept their UST in Anchor Protocol, which paid depositors a yield of around 19.5% a year from Terra's reserves. The SEC later alleged that Terraform and Do Kwon marketed UST as a yield-bearing stablecoin through Anchor. The aUST and Anchor page covers those deposits.
What happened in May 2022
Beginning on May 9, 2022, UST lost its peg. Holders rushed to swap UST for LUNA, the mechanism minted new LUNA in huge amounts, and LUNA collapsed under the new supply. Within a week, about $45B of market value was wiped out, UST traded around $0.10 and LUNA went to near zero. The collapse spread to 3AC, Celsius and Voyager.
Later that month, a new chain launched under the Terra name, and the original chain was renamed Terra Classic. UST stayed on the old chain, where it now trades as USTC. The UST you lost and the USTC you may still hold are the same token under a new name.
How a UST loss became a claim
Terraform Labs filed for Chapter 11 in January 2024, Case No. 24-10070 in Delaware, and its plan was confirmed on September 20, 2024. Losses in Terra ecosystem assets are handled as Crypto Loss Claims in Class 5. The claims portal opened at claims.terra.money in March 2025, and the filing deadline passed in May 2025 with 15,980 claims submitted.
Since August 2025, the Plan Administrator has sent Initial Determinations in rolling 30-day cycles. Your determination tells you whether your claim is Allowed, and the Allowed amount on your CLC form is what a buyer looks at.
Checking Schedule I
Schedule I, the List of Eligible Loss Cryptocurrencies, is the authoritative list of which assets count. The public FAQ names UST (now USTC), LUNA (now LUNC) and related holdings such as staked aUST. If your UST was bridged to another chain, check Schedule I rather than assuming; the wrapped and bridged UST page explains how. Start at the Kroll case page, and see Schedule I in the glossary.
Selling a UST claim
A claim that came from UST is sold the same way as any other Allowed claim. You upload your CLC form, confirm from the email on your claim, and see a firm cash offer from an institutional buyer. After onboarding, a 10-minute call and one signature on DocuSign, the buyer pays you directly: USDC within 24 hours of signing, often faster, or a bank wire sent within 24 hours (arrival depends on your bank). How to sell your Terra claim walks through each step.
In a standard sale you receive one payment, and from then on the buyer carries the wait and the risk. Every term of your sale is in the Transfer of Claim Agreement you sign.