The Terra project was supposed to be revived with the launch of the new Phoenix-1 blockchain, but something went wrong.
On Saturday, May 28, Terraform Labs founder Do Kwon announced the launch of Terra 2.0, a blockchain with a new LUNA token. Terra’s first version that came under the FUD attack will continue to operate under the name Terra Classic, with the token changing its ticker to LUNC.
The blockchain’s launch was supported by more than 65% of validators. The launch of Terra 2.0 was accompanied by the airdrop of new LUNA tokens, the rules of which were previously published on Medium. The launch, distribution, and token listing were supported with some reservations by many major trading platforms: Bybit, OKX, Gate.io, Bitrue, KuCoin, Binance and others. Some of them limited trading to “innovation zones,” some of them delayed it somewhat in time, but in general, the listing of LUNA took place on May 28.
The price of LUNA soared to $20 at the start of trading but fell more than 70% by the end of Saturday. According to CoinGecko, as of May 30, 14:00 (GMT+3), the asset was trading at around $6.4. Users were disappointed with such a start so they blamed the project team: losses amounted to hundreds of thousands of dollars, while compensation did not even reach $100. Many users did not figure out how to populate tokens during the airdrop, or figured it out, but did not get.
Experts on Twitter were also skeptical about Terra’s relaunch. The main argument of the skeptics is that the authors lost the essential thing — the trust of users.
