After the recent market crash that happened earlier in the month of May 2022, Terra got affected very badly and hence a lot of people lost interest in the whole blockchain. Now, the news is being heard that Do Kwon, who is the co-founder of Terra, has a restoration plan for Terra and he will try his best to revive the blockchain no matter what it takes.
He proposed a restoration plan for the Terra blockchain system that includes a hard fork and abandoning UST, Terra’s de-pegged stablecoin. In a tweet, he accepted the horrible failure of Terra’s stablecoin and stated that the whole ecosystem requires a new starting. He had likewise proposed a casual plan to resuscitate the Terra blockchain and at the time when you all will be reading this article, it is expected that he may have launched the new Terra version that will be known as Terra 2.0 (LUNAC)
Do Kwon stated the details of the restoration plan on twitter affirming that the Terra ecosystem was considerably much more than its failed stablecoin i.e. UST. Before the crash, Terra blockchain’s endeavors were purposeful and focused on their algorithmic stable coin. According to the new restoration plan, one billion new LUNA tokens will be accessible in Terra 2.0. These Terra LUNA tokens will be given through an airdrop among the community members of Terra. The individuals that will get the airdropped tokens incorporate Luna classic partners, Luna Classic holders, remaining TerraUSD holders, and application developers of Terra Classic. The Terraforms wallet will be eliminated from the airdrop whitelist making the Terra blockchain an altogether community chain. By means of the airdrop, Terra additionally wants to repay the UST as well as LUNA holders for their losses which, we think, is quite a good thing.
In a tweet, Do Kwon stated that, “$UST peg failure is Terra’s DAO hack moment – a chance to rise up anew from the ashes.” DAO hack is a huge exploit with regards to Ethereum’s set of experiences. The hack caused the Ethereum to fork into the Ethereum blockchain and Ethereum classic in 2016. He further said 5% supply of the new LUNA token would be allotted to the developers since they would require a specific budget to build the chain in an emergency.
The whole event of Terra going down by 100% and then the announcement of its new version will remain in history as a highlight of the 2022 market crash. The thing that the team behind LUNA didn’t give up and came out even stronger is worth praising. At this time, Terra’s UST exchanges at 1/tenth of its expected dollar value. LUNA (which will now be known as LUNC) has imploded to zero post its excessive inflation for all intents and purposes. Now, we all just have to wait and watch what’s going to happen next in the crypto world and how good the new version of Terra i.e. Terra 2.0 (LUNC) will affect the whole market.