LUNA Creator Wants To Hard Fork To Save Cryptocurrency And Kill Stablecoin UST

Do Kwon has a plan to try and revive Earth’s ecosystem and its cryptocurrency MOON: abandon the current network and stablecoin UST.

The South Korean founder of Terraform Labs defended this Monday (16) that the Earth blockchain must go through a hard fork which will split the current network in two. The old version will be called ‘Terra Classic’ and the new one simply ‘Terra’.

With a new version of the blockchain adopted, a new cryptocurrency appears on the market and is called Luna, while the old token is renamed Luna Classic, with the symbol LUNC.

In the new Terra ecosystem, UST is abandoned in the old chain and the renewed version of Terra no longer has algorithmic stablecoin.

“Earth is more than UST,” Kwon wrote. “While the UST has been the central narrative of Earth’s growth story over the past year, the distribution of the UST has led to the development of one of the strongest developer ecosystems around. in crypto and deserves to be preserved.”

Yes proposal is approved by the community in the vote this Wednesday (18), the hard fork that will generate the new Earth channel will take place next Friday (27).

Distribution of the new version of LUNA

In the scenario where the hard fork is approved, the new version of Luna will be distributed in coin-holder focused airdrops.

According to Do Kwon’s proposal, Luna will be distributed free of charge to holders and users who staking the current currency version; for UST holders and developers of essential Earth applications.

The Terraform Labs portfolio will not enter this airdrop, “making Terra an entirely community-based network”, according to Kwon.

The tokens will be distributed to users who had Luna and UST in their wallets at the time of the snapshot – recording the wallets and their amounts within a given time frame.

Two snapshots will be taken to determine the token distribution: the first record “pre-attack” will be from block 7544914 on May 7, and the “launchwill be block 7790000, mined on May 27.

In all, there will be 1 billion Luna tokens issued in the new version of the blockchain, distributed as follows:

25% – community pool, governed by governance

1% – emergency allowance for essential developers (no crashes)

4% – essential developers

35% – holders with Luna (minus Terraform Labs wallet) in snapshot”pre-attack

10% – Luna Holders (including staking derivatives) in snapshot »launch

25% – UST holders in the snapshot »launch

To avoid a post-launch token dump in the market, the proposal establishes that new holders will see the coins locked (cliff) for one year.

“We believe that this token distribution, in addition to LFG’s best efforts to assist UST holders, better resolves the diverse interests and time preferences of each stakeholder group and, more importantly, creates the most viable path to revive the earth’s ecosystem”, concluded From Kwon.

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