Terraform Labs CEO proposes hard fork to revive Terra
- May 17, 2022
- 0
Terraform Labs co-founder Do Kwon suggested hard forking Terra with a new network and an airdrop. He described it as “a chance to revive the project from the
Terraform Labs co-founder Do Kwon suggested hard forking Terra with a new network and an airdrop. He described it as “a chance to revive the project from the ashes”.
2/ It was inspiring to participate in the dynamic discussion about the best steps to take for Terra. By receiving feedback and thoughtful suggestions from the community, I would like to suggest the following for the way forward.https://t.co/E13VI8bkLh
A matter of logic:
— Do Kwon 🌕 (@stablekwon) 16 May 2022
The new network needs to keep the name Terra with the LUNA token. The first blockchain will be Luna Classic (LUNC) and Terra Classic, respectively.
The project will continue to develop without a new algorithmic stablecoin. Kwon described the failure of the UST peg on the dollar as DAO Terra’s “hacking moment”.
Total emission of LUNA will be 1 billion tokens, target reward for bet (inflation) is 7%.
Two snapshots will be taken for the distribution of tokens – May 7 (“Before the Attack”) and May 17 (“Launch”). Shares for Airdrop participants:
- 35% – community pool controlled by staking;
- 5% – developers;
- 35% – All users associated with LUNA from the “Before the Attack” image (not including Terraform);
- 10% – LUNA owners at the time of “Launch”;
- According to the launch image, 25% are UST owners.
For a number of categories, don’t deserve for most coins.
“In addition to LFG’s efforts to compensate UST holders, we believe this distribution is best suited to the various interests and preferences of each stakeholder. Most importantly, it creates a viable pathway for the Terra ecosystem to be revived,” said Kwon.
8/ In addition to LFG’s best efforts, we believe in this token distribution. $UST It is the owner community, providing the best solution for the changing interests and time preferences for each stakeholder group, and most importantly, creating the most appropriate way to revitalize the Terra ecosystem.
— Do Kwon 🌕 (@stablekwon) 16 May 2022
He called the new network focused on developers.
Voting on the proposal will take place on May 18, if approved, the launch will take place on May 27.
On May 8, the UST lost its peg against the US dollar. This happened against the background of the exit of assets from the Anchor protocol as the rate of return on deposits dropped to 17.87%.
On May 10, the asset’s prices fell below $0.62. The decline continued on May 11, after which the LUNA cryptocurrency used to issue the UST fell to $0.3. At the time of writing, the latter is worth ~$0.00018, while the stablecoin is about $0.09 (CoinGecko).
The head of Terraform Labs has already laid out plans to resolve the situation with failed assets.
Recall that Binance CEO Changpeng Zhao said that the Terra hard fork will not work as the new network will not have any value. Prior to that, he criticized the actions of the project team on a backdrop of collapse.
Source: Fork Log
I’m Sandra Torres, a passionate journalist and content creator. My specialty lies in covering the latest gadgets, trends and tech news for Div Bracket. With over 5 years of experience as a professional writer, I have built up an impressive portfolio of published works that showcase my expertise in this field.
