June 25, 2024

Developers Postponed Terra 2.0 Launch, Community Approves Burning 1.3 Billion UST

Developers Postponed Terra 2.0 Launch, Community Approves Burning 1.3 Billion UST

The developers have postponed the launch of the Terra 2.0 mainnet to Saturday, May 28, at approximately 09:00 (Kyiv/Moscow time). Genesis block of the newnetwork will release "a qualified majority of interconnected validators running simultaneously".

The project team noted that the Terra Station portal, Terra Finder browser and Terra Observer decentralized application hub will support the new network after its launch. 

Terraform Labs also stated that many dapps from the Terra Classic blockchain are migrating to Terra 2.0. The order and timing of their launch depends on a number of factors, including the speed of the team. 

The company emphasized that the new LUNA token willlisted on "many leading exchanges". Earlier, Binance, Huobi, Bybit, Gate.io and a number of other platforms announced their readiness to add cryptocurrency to the listing.

The LUNA airdrop will be held on the genesis block of the new network.The developers made the last snapshot for distribution on May 27 at the height of block #7790000 (Terra Classic blockchain). The team revealed details of the upcoming event and vesting details in a recent publication.

As part of the distribution, users will not have to “claim” tokens - they will be automatically credited to the wallets participating in the distribution. 

Terraform Labs added that users storing assets of the Terra Classic network on centralized exchanges need to check with the latter about how the airdrop will work. 

On May 26, the Terra Classic community approvedproposal regarding the burning of TerraUSD (UST) held in the community pool, as well as stablecoins issued as part of the latest stage of stimulating liquidity on the Ethereum blockchain. 

Over 1.3 billion tokens will be withdrawn from circulation—about 11% of the total UST supply. The initiative was supported by more than 99% of the total votes.

The process will take place in two stages. At the first, Terraform Labs will transfer about 1 billion UST from the community pool to the Community Core Burn module address, which will permanently remove the assets from circulation. 

In the second phase, the team will manually return 370 million UST from the Ethereum blockchain to the Terra Classic network and destroy them.

Terra's Death Spiral: How and Why LUNA and UST Failed

Let us remind you that after the collapse of UST and LUNA, Terra developers abandoned the blockchain hard fork in favor of launching a new network.