DEFI

Terra's new chain proposal officially approved, genesis block to be produced on 5/27: What are the 2 key things to know about Terra 2?

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Terra

On the evening of May 25th, Taiwan time, the Terra new chain proposal was officially approved. Hashed, a Korean blockchain institution with 3.6% of the total voting power, did not vote. The proposal received over 80% approval with a voting rate of 30.5 billion out of 36.7 billion votes. After the proposal was approved, what do existing holders need to know? This article was updated on May 26th with official information.

Terra 2 Must-Knows

Name Change

  • The native token of Terra 2 will continue to use the name LUNA, with the old LUNA being renamed to LUNC LUNA Classic

Allocation of 1 Billion New Tokens

There are a total of 1 billion new tokens LUNA

  • Community Pool 30%: Controlled by staking governance, with 10% dedicated to developers
  • Pre-attack LUNA holders 35%
  • Pre-attack aUST holders 10%
  • Post-attack LUNA holders 10%
  • Post-attack UST holders 15%

Who Is Eligible to Receive

  • Pre-attack LUNA holders include holders of staked derivatives, pre-attack aUST holders with less than 500,000 units of aUST: UST deposited in Anchor
  • Post-attack LUNA holders include holders of staked derivatives, post-attack UST holders

Airdrop Snapshot Definitions

  • Pre-attack snapshot definition: May 7th, 14:59:37 UTC; May 7th, 22:59:37 GMT+8
  • Post-attack snapshot definition: May 26th, 19:59:51 UTC; May 27th, 3:59:51 GMT+8

When Will the Airdrop Happen?

  • After the genesis block of Terra 2 on May 27th, some eligible recipients will receive 30% of the new tokens they are entitled to.
  • 30% Direct Airdrop Eligibility: Pre-attack holders with less than 10,000 LUNA, including holders of staked derivatives, pre-attack aUST holders with less than 500,000 units of aUST: UST deposited in Anchor, post-attack LUNA holders including holders of staked derivatives, post-attack UST holders
  • This means that eligible airdrop recipients, except for those with over 10,000 LUNA pre-attack, can receive 30% of the new tokens in the genesis block.

How Will the Remaining Tokens Be Distributed?

The tokens locked up during the lock-up period will be staked in Terra 2 nodes and will be eligible for staking rewards.

Exchange Rate Between Old and New Tokens?

The Terra team has also estimated the exchange rate between some old coins and new coins:

Exchanges and Protocols Supporting Terra 2

  • Centralized exchanges including Binance, FTX, etc., all support Terra 2 tokens. FTX stated that LUNA and UST trading will be temporarily suspended at 8 p.m. on the 26th to support the new chain.
  • Protocols including Nebula, Sigma, Prism, Astroport, Phoenix, Nexus, Spectrum, Anchor, One Planet, Random Earth, Coinhall, etc., will continue to exist on Terra 2.
  • Cross-chain bridges on different chains will receive token distributions from the future community pool.

South Korean Financial Authorities Paying Attention to Relevant Financial Risks

South Korea's financial regulatory agency announced on the 25th that it has decided to analyze the risk characteristics of domestic virtual assets as a way to manage risks in the virtual asset market. At the same time, they have begun to investigate whether the risks related to the Terra incident have transferred to the financial markets and have strengthened monitoring of domestic and foreign virtual asset markets.