After the collapse of the Terra Luna and the complete Terra ecosystem wiping billions of dollars of investor’s money, Do Kwon, the chief executive officer of TerraForm Labs, proposed replacing the current Terra network with a new blockchain, LUNA 2.0 which is set to launch on May 27, 2022.
This ‘hard fork’ would allow projects that were previously hosted on the Terra network to transition to the new one without requiring any changes to their projects.
As part of Kwon's recovery plan, Terra investors would receive a set number of Terra LUNA tokens. It is anticipated that the value of the new blockchain would increase as more people adopt the new blockchain.
The old blockchain network, Terra Classic blockchain, would continue to operate and host Terra USD. Projects built on the previous blockchain, as well as companies that validate transactions, will migrate to the new blockchain.
Accordingly, LUNA2.0 would be the sole cryptocurrency usable by applications and projects utilising the new blockchain.
Several leading exchanges have announced that they support the launch of LUNA 2.0 on their platform. Huobi cryptocurrency exchange was one such exchange.
The largest cryptocurrency exchange by trading volumes, Binance also extended its support to Luna2.0.
Biture was also one such exchange.
FTX exchange had also announced the same.
But, similar response was not received from other influencers of the crypto community. Dogecoin co-founder Billy Markus said in a recent tweet, Luna2.0 will show the world how "truly dumb crypto gamblers are."
Binance CEO Changpeng Zhao also had similar thoughts.
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