Crypto trading has taken the back seat in the digital economy in 2022, with the market remaining under the bears' control for most of the year. Furthermore, traders have seen their faith rocked by the consecutive failures of centralized exchanges. These intermediary marketplaces have been the powerhouse of the industry since its humble beginnings. Now, they seem to crumble under mounting allegations of scams, lawsuits, and solvency concerns. Meanwhile, they make a convincing case for the imminent decentralization of crypto…
Several of the world’s major exchanges have declared their support for Terraform’s reintroduction of the Terra chain as Terra 2.0.
Likewise, participants in the network responded positively to the latest in a string of revival strategies from CEO Kwon Do-Hyeong.
Terra Revival Plan Receives the Green Light
Algorithmic stablecoin UST’s depegging kicked off a series of events that led to the Terra ecosystem’s record collapse. Although most of the crypto-industry had written off the project, Do-Kwon relentlessly pursued its salvation. However, his suggestions failed to garner support among aggrieved users of the failed network until he submitted proposal 1623.
Earlier this week, the idea underwent a community vote and was able to scale through with the support of the majority. Proposal I623 entails the launch of a new blockchain, which, as stated earlier, Terraform Labs has tagged Terra 2.0. Terraform released the testnet version earlier this week, drawing the attention of the wider crypto community.
1/ Terra 2.0 is coming.
With overwhelming support, the Terra ecosystem has voted to pass Proposal 1623, calling for the genesis of a new blockchain and the preservation of our community.
— Terra 🌍 Powered by LUNA 🌕 (@terra_money) May 25, 2022
Leading exchanges such as Binance, FTX, Crypto.com, Huobi, Bitfinex, Bybit, Gate.io, Bitrue and Kucoin are standing behind Terra. Binance is reportedly helping as the network’s dev team finetunes details of the upcoming launch.
Do-Kwon’s Revival Plan Sees Major Solidarity
The exchanges mentioned above will help with the airdrop; clients with LUNA and UST tokens in their wallets are sure to partake. FTX says it will help with the airdrop and halt LUNA and UST trading.
— FTX (@FTX_Official) May 26, 2022
Also earlier this afternoon, Binance posted in its official website:
Binance will rename the current Terra network as Terra Classic network and support the Terra network airdrop.”
Interestingly, Do-Kwon claims not to have reached out to any exchanges regarding listing the new LUNA tokens. A quick scroll of the CEO’s page will reveal the massive influx of support Terra’s rebirth is receiving.
Details on Terra 2.0 Airdrop
When Do-Kwon first put forward proposal 1623 (also Rebirth of Terra), he called for a hard fork. However, feedback from Terra users pushed the company to opt for the genesis of a new blockchain. Terra 2.0 will operate separately from the beleaguered blockchain, which TFL now calls Terra Classic.
The relegated Terra Classic will continue using its existing native token; the fallen LUNA reincarnated as LUNA Classic (LUNC). Additionally, Terra is abandoning the contentious TerraUSD (UST). The new chain will mint new LUNA tokens, which Terraform Labs plans to airdrop to UST and LUNC holders.
New LUNA Token Distribution
One of the tweaks made to proposal 1623 has seen Terra alter the distribution details for the airdrop. The eligible holders make up major categories, pre, and post-crash LUNA holders and pre and post-crash UST holders. These individuals will be airdropped the new LUNA tokens in varying ratios based on their category.
On Wednesday, details about the upcoming airdrop was summarized in a Twitter thread by the Terra team. They stated that 35% of the new coin supply is reserved for pre-attack LUNA investors. While post-attack investors get 10%, the same is true for pre-crash UST holders.
Finally, Terra is allocating 15% of the supply to post-attack UST holders and the residual 30% to the community pool.