Terra Luna up more than 3300%: Is Terra ecosystem back on track?
The cryptocurrency witnesses a recovery phase; Luna goes up by 3000 per cent during the weekend
- May 16, 2022,
- Updated May 16, 2022 10:04 AM IST
Terra's Luna, the cryptocurrency which had nearly wiped out, witnessed a rebound over the weekend as it shot up 3300 per cent.
As per data from CoinGecko, the crypto reached a high of $0.00058798, indicating towards a debris-to-hubris kind of situation.
The cryptocurrency rebounded after Do Kwon, founder of Terraform Labs, released a recovery plan for TerraUSD and Terra Luna amid the crash on the Terra blogpost.
Do Kwon admitted in the blog post that the network's decentralised stablecoin, TerraUSD had lost the community's faith.
The founder went on to say that Terra's growth had previously been linked to TerraUSD, but with the crypto’s crash, the community should now focus on how the overall ecosystem can continue to thrive.
Kwon further clarified, Terra's community must rebuild the chain, and validators must reset the network to 1 billion tokens.
Kwon stressed on the fact that the Terra network needs to incentivize its security with a realistic inflation rate of 7 per cent, since fees will no longer be enough to pay for security without trading fees.
Moreover, TerraUSD stablecoin holders, according to the founder, should own a major portion of the network because they are the network's debt holders and should be fairly compensated.
Apart from that, he noted that Terra network requires its token holders from before the crash to stick around to add value to the ecosystem.
Interestingly, the recent boom in the value of the cryptocurrency is insignificant compared to the tremendous loss that preceded it. The token went from an all-time high of $119 in April to dwindling to zero in the past few days.
Currently, as per data from CoinMarketCap, the token is trading at $0.0002519, 33.41 per cent down in the last 24 hours, as of 9.20 am IST on Monday.
Also Read: Terra blockchain halted again as crypto TANKS 99.99% Also Read: Cryptocurrency markets crash: Terra Luna down 99.99%, will it wipeout?
Terra's Luna, the cryptocurrency which had nearly wiped out, witnessed a rebound over the weekend as it shot up 3300 per cent.
As per data from CoinGecko, the crypto reached a high of $0.00058798, indicating towards a debris-to-hubris kind of situation.
The cryptocurrency rebounded after Do Kwon, founder of Terraform Labs, released a recovery plan for TerraUSD and Terra Luna amid the crash on the Terra blogpost.
Do Kwon admitted in the blog post that the network's decentralised stablecoin, TerraUSD had lost the community's faith.
The founder went on to say that Terra's growth had previously been linked to TerraUSD, but with the crypto’s crash, the community should now focus on how the overall ecosystem can continue to thrive.
Kwon further clarified, Terra's community must rebuild the chain, and validators must reset the network to 1 billion tokens.
Kwon stressed on the fact that the Terra network needs to incentivize its security with a realistic inflation rate of 7 per cent, since fees will no longer be enough to pay for security without trading fees.
Moreover, TerraUSD stablecoin holders, according to the founder, should own a major portion of the network because they are the network's debt holders and should be fairly compensated.
Apart from that, he noted that Terra network requires its token holders from before the crash to stick around to add value to the ecosystem.
Interestingly, the recent boom in the value of the cryptocurrency is insignificant compared to the tremendous loss that preceded it. The token went from an all-time high of $119 in April to dwindling to zero in the past few days.
Currently, as per data from CoinMarketCap, the token is trading at $0.0002519, 33.41 per cent down in the last 24 hours, as of 9.20 am IST on Monday.
Also Read: Terra blockchain halted again as crypto TANKS 99.99% Also Read: Cryptocurrency markets crash: Terra Luna down 99.99%, will it wipeout?