Terra’s co-creator Do Kwon has proposed a hard fork of the network in a bid to revive the project following a bank run that led to the creation of over 6 trillion LUNA and the collapse of UST. The fork would create a “Terra Classic” network.
In his most recent proposal, do Kwon suggested a move that would keep the current, collapsed blockchain as the “Terra Classic” network, whose native token would be called Luna Classic (LUNC).
The fork would create a new blockchain and would include an airdrop to existing LUNA and UST holders, as well as developers, with vesting schedules and token lockups to avoid a steep price decline after it occurs.
In a thread, Kwon shared that the plan came as “competing interests from varied stakeholders make it extremely difficult and unlikely to achieve consensus on a cohesive, congruent plan.” Per Kwon, it would be “devastating for broader crypto adoption and advancement” if the network remains “in entropy amidst opposing views.”
The new fork would leave Terraform Labs’ wallet out of the airdrop, which would make “Terra a fully community-owned chain.” The hard fork proposal is will be up for governance vote on May 18.