Terra To Send 2.5M LUNA To Exchanges For Immediate Selling, Funds Meant To Support Projects On Terra 2.0.
A recent proposal has given the green light for Terra to sell millions of LUNA to fund Terra 2.0 projects.
Development on Terra 2.0 is still ongoing. Projects that were initially on the original Terra change have migrated to Terra 2.0. However, the new chain has had its own issues, starting with the flawed LUNA airdrop that followed its launch.
To keep developers from ditching its blockchain network, Terra came up with an attractive package to fund their ventures. This provision was included in the proposal for the creation of Terra 2.0.
Recently, a proposal, dubbed Proposal 446, was fielded to the community to release the allocated funds to support developers on the new blockchain. The proposal, hosted and tracked on Terra Station, was passed with over 88% support.
Prop 446 to establish the emergency allocation distribution method of $LUNA to eligible teams building on Terra 2.0 has officially passed!
Read the governance proposal from @cephii1 for full details👇https://t.co/HKi5nLLiKI
— Terra 🌍 Powered by LUNA 🌕 (@terra_money) June 15, 2022
Now, this Builder Emergency Allocation is ready for release. In a recent tweet, LUNCDAO announced that 2.5 million LUNA will be released to support 52 select projects on Terra 2.0. The funds can be sold on exchanges with immediate effect to support the developing team’s expenses.
The $LUNA Builder Emergency Allocation multisig just started distributing funds to 52 projects on Terra 2
That's 5M $LUNA, with 50% unlocked immediately
This means that 2,500,000 $LUNA hitting the market now and may potentially be sold immediately on CEXs to fund team costs
— 🕊️🔥 𝕃𝕌ℕℂ 𝔻𝔸𝕆 🔥🕊️ (@LUNCDAO) June 17, 2022
The 2.5 million LUNA are 50% of the initial 5 million LUNA allocated for this purpose. At press time, LUNA is trading at around $2.27 as shown on CMC. With 2.5 million LUNA to be sold, the funding figure is expected to come out as around $5.6 million. The wallets involved can be tracked here.
What About LUNC?
Meanwhile, the Terra community, especially users who hold the crashed LUNC, have been complaining, claiming that Do Kwon and TFL have abandoned LUNC. This claim could be apparent judging from the efforts the team is putting into developing Terra 2.0 as opposed to the silent treatment given to UST and LUNC.
A few days ago, Do Kwon took to Twitter to dispel fears that TFL has abandoned LUNC. He promised to be more communicative to the community.
Follow Us on Twitter and Facebook.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.