On Friday, Luna’s developers confirmed that Terra would launch its new blockchain on Saturday. The launch will be done through an airdrop, and the users will receive new LUNA tokens. This step is to reconstruct the destroyed ecosystem of Luna. One of the developers stated that their whole team is working day and night to ensure the timely launch of the new chain. The expected launch date is around the 28th of 2022, at 06:00 AM UTC.
The new chain will offer ownership to the previous owners of Luna also. The owners of LUNA and terraUSD (UST), a stablecoin backed by the US dollar, will get their LUNA tokens in the new launch. The token will be given based on previous ownership of the investors. This move will help restore some previous owners’ wealth to a certain extent. Also, this will help in incentivizing the new blockchain purchase as well. For instance, if a wallet has around 1 million LUNA or UST, they need to hold its position for around a year or more to get the tokens. They also need to give a 4-year vesting period after this. Users who already have their wallets will automatically get new tokens.
The famous applications of the previous blockchains like Terra Classic will also be utilized in the new blockchain. They will be migrated to the system of Terra 2.0.
Also, a vote has been passed on burning around 1.388 billion UST, pegging the previous stablecoin value. Proposal 1747 was sanctioned on Thursday. This decreased the value of UST supply by 11% of its current value. The value is around 11.28 billion. Terra UST also encountered a bank which caused the reduction of their values by around 7%. This decreased the investor’s trust in Terra, which ultimately took the stablecoin down to a loss of 100%. The DeFi assets of Terra lost around $28 billion in value.
