This plan calls for the redistribution of one billion tokens in order to establish a new governance system in the Terra ecosystem, which will aim to ensure complete decentralization in order to defend values such as decentralized currency and the power of the community in decision making.
Terra Founder Do Kwon recently posted a new update on the Blockchain Project’s official forum, where he presented what he calls his “recovery plan for the Terra ecosystem“, which foresees some very interesting changes.
Do Kwon shares new details about Terra’s rescue plan.
Kwon said in the post, including “a reboot of the entire Terra Blockchain network“, for which he plans to distribute 1 billion tokens among UST and LUNA holders to create an ecosystem of validators for the new version of the network.
According to Kwon’s proposal, the distribution would be as follows:
- 400 million (40%) of the tokens will go to LUNA holders prior to token decoupling.
- Another 400 million (40%) of the tokens will go to UST holders.
- Approximately 100 million (10%) of the tokens will go towards compensating/rewarding buyers who purchased LUNA/UST before the network shutdown.
- And the rest of the fund, approximately 100 million (10%) of the tokens, will go to the community fund to promote the development of future projects.
The redistribution of tokens aims to compensate and offer holders the possibility of being validators, precisely because the community will have a great weight in ensuring the validation of operations and the security of the network, while defending values such as decentralization. and democracy in decision-making.
Kwon himself acknowledges that this can be difficult, especially when talking about a fair distribution of tokens to ensure the greatest possible decentralization, but that the goal is precisely to achieve the best possible distribution so that the ecosystem remains alive. with the most important values, which cannot be achieved in the current state.
The expectation of Terra is always present
Far from what many may think, Kwon’s statements and the plan presented clearly show that the development team is determined to try to redress the situation that the Blockchain project is going through, which is experiencing its worst moment after the fall of the stablecoin UST, the price of the LUNA token reaching all-time lows after a brutal day, as well as the fact that the network was in danger of a 51% attack, which led to the temporary suspension of activities due to security measures .
In this regard, Mr. Kwon noted that apart from financial results, the Terra ecosystem has achieved the following things:
- Building a fairly large and remarkable development ecosystem in the crypto ecosystem.
- A large base of users and enthusiasts of the project.
- A very good reputation beyond what happened.
The project founder pointed out that the need for a decentralized currency is more relevant today than ever. The Terra community will therefore continue to work in this direction, while recognizing that UST has not had the expected success.