As the dust settles from the fall of Terra’s ecosystem and the community decides what the next steps should be, a big validator from south korea thinks the old terra chain should be shut down permanently.
Jiyun Kim, CEO of blockchain solutions company DSRV, wrote an opinion post detailing how the Terra team thought about stopping block production as Terra (LUNA) prices crashed and its stablecoin TerraUSD (UST) lost its peg. with the US dollar. Now he urges validators in the Terra ecosystem to reject a hard fork in favor of a new community-driven blockchain.
DSRV runs a validator node on Terra with 9.36% of the on-chain voting power. DSRV has suffered as much as any investor because his node had raised 14 billion LUNA, worth about $1 billion worth of LUNA on May 8, now worth about $3 million.
Kim wrote that the decision to stop the network on May 12 was not taken lightly by the Terra Validators League, which was renamed the “Terra Renaissance League.” However, he said thatTerra’s team failed to give proper notification by using the word “Confirm” to actually confirm with all validators that they were supposed to stop the chain, which left him feeling “betrayed”. He wrote:
And the announcement they made [hizo parecer] that chain reset was originally the opinion of the validator. YES, they did not use the term ‘Confirm’”
Terra’s founder, Do Kwon proposed to reconstitute the chain and reset the token supply to 1 billion LUNA on Friday. Kim seems to completely disagree with Kwon, as he wrote in his post that reusing the Terra string “would be setting the internal value of the Terra string to 0”:
“Terra’s previous chain should be gone permanently. And a whole new chain driven by the community should [hacerse] to save the Lunatics.”
There may be more to the story, sincee Kim wrote in her post that control of the validator league has been ceded to the community, giving an appearance of decentralization, which could potentially shield the Terra team from further legal burdens.. He wondered if the project is preparing to deal with looming legal hurdles by asking, “perhaps this can serve to mitigate your legal risk?”
Wu Blockchain tweeted on Saturday that a Singaporean resident has already filed a lawsuit against Do Kwon for UST and LUNA investors.
A user on reddit claimed to have sent a police report have been made against Do Kwon, on behalf of UST and Luna investors. He said at least 1,000 Singapore citizens have invested in Luna and UST. https://t.co/eIQ9AGul4T https://t.co/YzPf8iWHI7
— Wu Blockchain (@WuBlockchain) May 14, 2022
A user on reddit claimed to have submitted a police report that has been made against Do Kwon, on behalf of UST and Luna investors. He said that at least 1,000 Singaporeans have invested in Luna and UST. https://t.co/eIQ9AGul4T https://t.co/YzPf8iWHI7
Kim told Cointelegraph on Monday that he wants to “save the community,” but there is no major coordinator in victim support efforts. “because there are still legal issues there:”
“I’m not a hero, but I really want to save people.”
On May 8, a UST token sale sparked a panic, ultimately leading the price of LUNA to drop from $73 to a minuscule $0.000000999967 on Friday, according to CoinGecko. UST remains catastrophically unpegged from the dollar, trading at $0.16while LUNA is practically worthless, trading 30.8% lower in the last 24 hours at $0.00026619.
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