As the dust settles from the collapse of the Terra ecosystem and the community decides what should be done next, the CEO of the Korean validator runner believes the old Terra chain should be shut down permanently.
Comments from Jiyun Kim, CEO of blockchain solutions company DSRV postal In his own name, detailing how the Terra team Luna Prices plummeted and its Terra USD (UST) stablecoin decoupled. He is now urging validators in the Terra ecosystem to reject the hard fork in favor of an entirely new community-driven blockchain.
DSRV run validator node 9.36% on-chain voting power on Terra. DSRV has suffered as much as any investor, as its nodes had collected 14 billion LUNA before May 8, and about $1 billion worth of LUNA is now worth about $3 million.
Kim wrote that the decision stop the chain On May 12, the Earth Validator Alliance did not take it lightly and changed its name to the “Earth Rebirth Alliance”. However, he said he felt “betrayed” by the Terra team’s failure to use the word “confirmation” to issue the correct notification to actually confirm to all validators that they should stop the chain. He wrote:
“And the announcement they made [made it sound like] Chain restarts are initially the opinion of the validators. Yes, they didn’t use the word “confirm”. “
Terra founder Do Kwon Propose to restructure the chain And reset the token supply to 1 billion LUNA on May 13th. Kim seems to disagree completely with Kwon’s writing in his post that reusing the Terra chain “completely makes the Terra chain’s internal value 0”.
“The old Thai zipper should be gone forever. A whole new community driven chain should [be made to] Save the lunatic. “
As Kim wrote in his post, there may be more to this story, the control of the validator alliance has been ceded to the community, giving a sense of decentralization, which may protect the Terra team from subject to further legal burdens. He wondered if the project was prepared to deal with looming legal hurdles by asking “maybe this can be used to mitigate their legal risk?”
Wu Blockchain tweeted on May 14 that a Singapore resident had filed a lawsuit against Do Kwon for UST and LUNA investors.
A user on reddit claims to have filed a police report with Do Kwon on behalf of UST and Luna investors. He said at least 1,000 Singaporean citizens had invested in Luna and UST. https://t.co/eIQ9AGul4T https://t.co/YzPf8iWHI7
— Wu Blockchain (@WuBlockchain) May 14, 2022
King told Cointelegraph on May 16 that he wanted to “save the community” but didn’t have a primary coordinator in the victim support effort “because there are still legal issues there.”
“I’m not a hero, but I really want to save people.”
On May 8, the sell-off of UST tokens sparked panic, which eventually caused the price of LUNA to drop from $73 to a paltry $0.000000999967 on May 13. Coin Tiger.UST remains heavily decoupled from the dollar, trading at $0.16, while LUNA is almost worthless, down 30.8% over the past 24 hours to $0.00026619.