Developers will distribute assets to holders of old tokens within two years

Terra 2.0 network will launch on May 27. Who will get the new LUNA tokens

25.05.2022 - 09:40

413

2 min

What’s new? According to the developers' blog, Terra 2.0 will launch on May 27. The “pre-attack” snapshot is considered May 7, 2022, and there will also be a snapshot before the launch of the new network. Based on these two snapshots, a drop of new tokens will be conducted.

The Terra Blog

How will the drop be carried out? When Terra 2.0 is created, the old blockchain will be called Terra Classic (LUNC), and the old LUNA ticker will be transferred to the new token.

The initial number of free LUNA tokens will be increased from 15% to 30%. Among the “pre-attack” LUNC holders, 35% will be distributed, while the “post-attack” asset holders will receive 10%. “Pre-” and “post-attack” UST holders will receive 10% and 15% of the new tokens, respectively.

The LUNA distribution to TerraUST holders who put their assets on Anchor (aUST) during the ecosystem crash will be reduced from 20% to 15%. Initially, 30% of funds will be unlocked during the launch, and the remaining 70% will be distributed over the course of two years.

What happened before? Terra representatives noted that the most popular dApps operating on Terra were already ready to be migrated to the new blockchain, among them Prism, Stader, RandomEarth, and OnePlanet.

Terraform Labs CEO Do Kwon called the burning of LUNA tokens a bad idea. In his view, it would not restore the Terra ecosystem, furthermore, the holders would lose their assets. Despite this statement, the Terra CEO provided a wallet address for the burn of LUNA coins.

Also, the Seoul Metropolitan Police Department asked the local exchanges to block the possibility of any corporate funds being withdrawn by the non-profit organization Luna Foundation Guard (LFG), created to back Terra. Law enforcement officials believed the foundation may have embezzled investors' assets.

For a detailed timeline of the collapse of the Terra ecosystem, see GetBlock Magazine's article.

Author:

Vasiliy Smirnov Vasiliy Smirnov

Subscribe to Getblock Magazine and stay up to date with the latest news from the world of cryptocurrencies and the digital economy