The co-founder of Terra Chain, Do Kwon came forward to reveal his further plan to implement a hard fork into blockchain and split it into two different chains to revive the ecosystem.
After observing an unparalleled community due to competing interests from different stakeholders, he made a proposal to achieve consensus in a cohesive manner.
To take forward the Terra ecosystem, he suggested a hard fork on its blockchain that will split it into two blockchains. The old chain will be called “Terra Classic”, while the new one will be “Terra” without algorithmic stablecoins.
Terra Classic will have Luna Classic ($LUNC) tokens, and $LUNC stakes, holders, residual UST holders, and essential app developers will get a new LUNA token ($LUNA) via airdrop. Also, the Terraform Lab’s wallet will be removed during this to form a community-led Terra chain.
Do Kwon believes that the token distribution of 1 billion tokens will settle down the varying interests and time preferences of every stakeholder group. He hopes that this will be enough for the survival of the Terra ecosystem.
Also Read: Terra’s LFG Reveals Remaining Bitcoin Reserves After The Crash
Out of 1 billion Luna Tokens, 35% will directly go to stakers using a “pre-attack” snapshot from just before the system collapsed on May 7. 10% will be issued to LUNA holders. The remaining will be allocated to Terra ecosystem developers.
He also added that Terra 2.0 will be dedicated to developers as they “will get an immediate emergency allocation of Luna tokens to fund runway, as well as a pool of tokens earmarked to align the interests of the base layer with its builders.”
As per the thread of the Tweets, voting for the proposal will be initiated on May 18, and if it passes, then the Terra hard fork will take place on May 27 with the help of validators.
However, some Twitter users sound unpleasant about the new chain proposal.
