{"id":16756,"date":"2022-05-14T12:36:07","date_gmt":"2022-05-14T12:36:07","guid":{"rendered":"http:\/\/egrowonline.com\/?p=16756"},"modified":"2022-05-14T12:36:07","modified_gmt":"2022-05-14T12:36:07","slug":"revival-plan-boosts-essentially-zero-luna-price-by-1000-amid-bitcoin-ethereum-and-crypto-crash","status":"publish","type":"post","link":"http:\/\/egrowonline.com\/?p=16756","title":{"rendered":"\u2018Revival Plan\u2019 Boosts \u2018Essentially Zero\u2019 Luna Price By 1,000% Amid Bitcoin, Ethereum And Crypto Crash"},"content":{"rendered":"


\n<\/p>\n

\n

Luna <\/p>\n

LUNA<\/a>
\n , the collapsed cryptocurrency that was designed to support the terraUSD (UST <\/p>\n

UST<\/a>
\n ) stablecoin, has rocketed higher over the last 24 hours despite falling to near zero this week\u2014a dramatic collapse that shook the wider bitcoin and crypto market<\/a>. <\/p>\n

Subscribe<\/em><\/strong> <\/em>now to <\/em><\/strong>Forbes’ CryptoAsset & Blockchain Advisor <\/em>and successfully navigate the volatile bitcoin and crypto market<\/em><\/strong><\/a><\/p>\n

The luna price, which was trading as high as $100 per luna just last month, crashed to near zero this week\u2014causing the algorithmic stablecoin UST to completely lose its peg to the U.S. dollar\u2014amid a $1 trillion crypto crash that sent the bitcoin price down by over 20%. <\/p>\n

Now, the chief executive of UST and luna developer Terraform Labs, Do Kwon, has pitched a revival plan that could see ownership in the network distributed across UST and luna holders\u2014causing the luna price to surge over 1,000% as traders bet the project could recover.<\/p>\n

Want to stay ahead of the market and understand the latest crypto news? <\/strong>Sign up now for the free CryptoCodex<\/em><\/strong><\/a>\u2014A daily newsletter for crypto investors and the crypto-curious<\/strong><\/p>\n

MORE FROM FORBES<\/span>Still Has ‘Potential As A Currency’-Elon Musk Gives Surprise Dogecoin Signal After Huge Bitcoin, Ethereum And Crypto Price Crash<\/span>By Billy Bambrough<\/span><\/small><\/span><\/span><\/a><\/p>\n

\n

The chief executive of Terraform Labs Do Kwon pitched a “revival plan” for luna and the algorithmic … [+]<\/span> stablecoin UST following the blockchain ecosystem’s collapse. <\/span><\/p>\n

\u00a9 2022 Bloomberg Finance LP<\/small>
\n <\/figcaption><\/figure>\n

“While UST has been the central narrative of Terra\u2019s growth story over the last year, the Terra ecosystem and its community is what is worth preserving,” Kwon wrote in a post<\/a> on a Terra discussion forum, adding the Terra community “must reconstitute the chain to preserve the community and the developer ecosystem.”<\/p>\n

The reconstitute\u2014effectively a restart of the terra blockchain\u2014would create 1 billion tokens to be distributed among various community stakeholders, with 40% going to luna holders before the UST de-pegging, 40% to go to UST holders “pro-rata at the time of the new network upgrade,” 10% to luna holders before the chain halt, and 10% to the “Community Pool to fund future development.”<\/p>\n

The blockchain underpinning luna and UST was shut down multiple times this week<\/a> to “prevent governance attacks” following “severe [luna] inflation.” <\/p>\n

Terraform Labs and the Luna Foundation Guard, tasked with supporting UST, this week printed several billion luna tokens\u2014increasing the luna supply from 340 million last week to 6.5 trillion\u2014in a failed attempt to maintain the UST peg to the dollar.<\/p>\n

Sign up now for CryptoCodex<\/em><\/strong><\/a>\u2014A free, daily newsletter for the crypto-curious<\/strong><\/p>\n

MORE FROM FORBES<\/span>Crypto Price Alert: Fed Triggers Stark $10,000 Bitcoin Crash Warning<\/span>By Billy Bambrough<\/span><\/small><\/span><\/span><\/a><\/p>\n

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The luna price has fallen by almost 100% over the last week, sparking a bitcoin and crypto crisis. <\/p>\n

Coinbase<\/small>
\n <\/figcaption><\/figure>\n

“Terra needs a community to continue to grow and make its blockspace valuable again\u2014the only way to do this is to make sure that token holders before the attack commenced, the most loyal community members and builders, stick around to keep providing value,” Kwon wrote, adding, the ecosystem will not survive “in its current state.”<\/p>\n

In a follow-up tweet thread<\/a>, Kwon said he’s “heartbroken” about the collapse of luna and UST but said he’s confident the “community will form consensus around the best path forward for itself and find a way to rise again.”<\/p>\n

Others in the crypto community have also suggested the project could still survive in some form with Binance chief executive Changpeng Zhao, often known simply as CZ, saying there has been “progress” made. <\/p>\n

“Luna blockchain resumed, no more minting,” CZ posted<\/a> to Twitter. “And deposits, withdrawals and trading resumed. Trading is important for existing holders.”<\/p>\n

The luna and UST collapse this week came amid a bitcoin, ethereum and wider crypto market downturn that made UST vulnerable, with some speculating there may have been an orchestrated attack on the stablecoin. <\/p>\n

“The pullback in general markets created the conditions for an attack on UST, which was inherently fragile,” Cory Klippsten, the founder and CEO of bitcoin-buying app Swan Bitcoin, said in a Telegram message, adding, “the effects of the unwind are wide reaching, and the ultimate magnitude still unknowable.”<\/p>\n<\/div>\n


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Luna LUNA , the collapsed cryptocurrency that was designed to support the terraUSD (UST UST ) stablecoin, has rocketed higher over the last 24 hours despite falling to near zero this week\u2014a dramatic collapse that shook the wider bitcoin and crypto market. Subscribe now to Forbes’ CryptoAsset & Blockchain Advisor and successfully navigate the volatile […]<\/p>\n","protected":false},"author":1,"featured_media":16757,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false}}},"categories":[41],"tags":[50,1889,1000,62,8135,158,357,1358,195,4956],"class_list":["post-16756","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ethereum","tag-bitcoin","tag-boosts","tag-crash","tag-crypto","tag-essentially","tag-ethereum","tag-luna","tag-plan","tag-price","tag-revival"],"jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"http:\/\/egrowonline.com\/wp-content\/uploads\/2022\/05\/1652531764_0x0.jpg","_links":{"self":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts\/16756","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=16756"}],"version-history":[{"count":1,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts\/16756\/revisions"}],"predecessor-version":[{"id":16758,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts\/16756\/revisions\/16758"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/media\/16757"}],"wp:attachment":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=16756"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=16756"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=16756"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}