Luna has launched a new cryptocurrency that is decoupled from the UST stablecoin responsible for the collapse of Terra (LUNA), and now operates solely as a blockchain platform with a native token. However, like the now Luna Classic (formerly Luna), the new Luna plummeted from $19.5 at launch to $5.9, well below the $50 expected by investors who believed in the new version of the Luna. currency.
Holders of the old Luna will receive the new Luna based on a complex distribution that comes with a six-month coin freeze time.
“Distribution to Luna holders before the attack: for all holders with an instant balance of 10k Luna or less, 30% unlocked at the genesis block; 70% after 6 months ,” said Do Kwon, founder of Luna.
Holders of the UST stablecoin will also receive some tokens, which means that this is not a classic hard fork where users get a new coin for every old coin (1:1).
Instead, Terra Labs is simply relaunching the blockchain while ditching the UST, which is now worth 2 cents on the dollar.
LUNA 2.0
That way, they can move on and Do Kwon can still have a project to run. Meanwhile, some investors want to take a chance and invest in the future of the new coin.
Alternatively, however, this process can be seen as a cryptocurrency bankruptcy process, simply start a new token and pretend nothing happened to the old one.
Eventually, this new token may be renamed “non-luna”, and often the collapse process repeats itself, because if the carelessness with the previous coin was so great as to collapse the token, then why wouldn’t that carelessness and carelessness return? to pass?
Real-life lessons are learned from catastrophic events. Unless we are tested by fire, we will never know the determination and principles that guide our being.
Luna is a litmus test for the cryptocurrency industry. That a platform like Luna could be targeted on purpose is not entirely surprising. What is not acceptable is that the cryptocurrency community agrees to such an attack and decides to leave the platform and carry on as if nobody cares.
It sends a message that the world of cryptocurrencies has no better values than Wall Street. In other words, we are just as materialistic and insensitive as the financial system we set out to replace.
That is why usually only loan sharks lend money to those who are bankrupt. Especially since Do Kwon still hasn’t explained how he created such a heinous ‘algorithm’ that he killed the entire project.
We have only seen such a thing with blows and really blows. Because experimentation can go wrong, but not so bad that it destroys $50 billion.
Because he can, and not because of some trick, so one has to wonder if Do Kwon was unaware. If he wasn’t aware that his project was really bad.
Does it matter because one should expect better with this new LUNA Token? Except there is no algorithm here, there is no UST, instead, there is just another blockchain among many others.
