After last week’s de-pegging of UST stablecoin and price meltdown of LUNA, Terra’s founder, Do Kwon, has offered a new strategy of forking the Terra network into a new chain which will abandon the algorithmic stablecoin UST.
Forking LUNA’s Blockchain to Make Terra Classic
In a Twitter thread, Terraform Labs CEO Do Kwon announced a second revival plan for the failing Terra ecosystem. Under the proposal, the network will be forked into two blockchains with the original chain being called Terra Classic with its LUNA Classic (LUNC) token, while the new one will be called Terra (LUNA).
Kwon’s proposal is reminiscent of the 2016 Genesis DAO exploit, which led to the birth of the current Ethereum chain while the original Ethereum chain came to be known as Ethereum Classic.
The proposal also includes airdropping the new LUNA tokens to LUNC and UST investors and stakers and transferring ownership of the new network to the community.
Terraform Labs will put up the proposal for a governance vote on May 18th, Asia time. If successful, the new chain could go live on May 27.
Do Kwon: “Terra is More Than UST”
LUNA, which was trading at over $65 last week, is currently next to worthless at around $0.00018. Its sister stablecoin, UST which was once the world’s third-largest with a market capitalization of $18 billion, has collapsed to $0.098.
“The Terra ecosystem and its community are worth preserving,” Kwon mentioned in his recent tweet, adding that “Terra is more than $UST.”
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