Terra Network Revival Plan With Luna
Let’s do a recap on what happened recently in the crypto market. Terra Luna is one of the most popular coins in the crypto space, and its stable coin decreased in value. The cause of the collapse was basically due to the depegging of TerraUST from the dollar. Remember that stablecoins are supposed to stay at $1 and are backed by several assets to enable them to maintain the peg. In the case of UST, it is backed by Luna, the native token of the Terra network. Unfortunately, the price of TerraUST started dropping, and in order to bring it back to its original stability, Luna tokens were burnt, leading to hyperinflation.
Due to the turn of events, the Terra Luna and UST fell. Terra Luna price dropped massively from $80 on the 5th of May to less than $0.1 (over 99.9% drop) by May 11. Its stablecoin also took a plunge and currently sits far below the standard $1. Millions of investors lost their money due to the collapse.
There has been a lot of Terra Luna news flying around mentioning the collapse and quoting recovery plans. The Terra network recovery plan is to create a new network and fork a new coin.
Terra Luna Classic and Terra 2.0
On the 25th of May, the Terra team announced the proposal — Terra ecosystem revival plan 2 — for a new network was passed after voting. The original Terra network will be renamed Terra Classic and while the old token will be called Luna Classic (LUNC). The new chain will be Terra, and the token will be called Luna. The revival will not include UST stablecoin, and the remainder will be burnt. The token was expected to launch today, the 27th of May but was delayed. Finally, it was announced on Twitter to launch on 28 May 2022, at 6:00 am UTC.
1/ Yesterday, we said Terra 2.0 is coming. Tomorrow, it arrives.
The community has been working around the clock to coordinate the new chain’s launch. Subject to potential change, we expect Terra to go live on May 28th, 2022 at around 06:00 AM UTC.
— Terra 🌍 Powered by LUNA 🌕 (@terra_money) May 27, 2022
Following the news of Terra recovery, the various crypto trading platforms announced their plans to list the token, and Guarda aims to quickly add support for Luna 2.0 as well.
The network will airdrop Terra Luna token across LUNA Classic stakers, LUNA Classic holders, remaining UST holders, and important app developers committed to creating Terra. The Luna token will be distributed as follows:
- The community pool will get 30%
- Pre-attack LUNC holders will get 35%
- Pre-attack UST holders: 10%
- Post-attack LUNC holders: 10%
- Post-attack UST holders: 15%
Most of your favorite dApps on the Terra Classic network will migrate to the Terra ecosystem. Their plans and schedules will depend on the preparations and will be announced later.
Many crypto enthusiasts predict that Terra Luna may bounce back and even could go to the moon. As mentioned above, various exchanges will be supporting the new chain on their platform. But it is still difficult to say whether the new project or the token behind it will prevail. Only time will tell.
Furthermore, you can read more about the token on the network’s revival plan. You can also get updates and fresh news on Terra Luna Reddit as well as other social media platforms.
Stay tuned for updates from Guarda to know when Luna 2.0 will be available in the wallet.