Terra Classic Team Clarifies Binance Role In Neblio Deal

Terra Rebels say Binance only played an introductory role in the sponsorship deal with Neblio.

In a tweet today, Terra Rebels, an independent group of volunteers working on the Terra Classic chain, clarified that Binance played no part in its latest sponsorship deal with Neblio aside from introducing both parties.

“For some clarification,” the group wrote. “At no time did binance play any role beyond an initial introduction in the support deal between Terra Rebels and Neblio. Binance at no time supported, backed, endorsed, brokered or played any other role in the support deal between Terra Rebels and Neblio.”

For some clarification.

At no time did binance play any role beyond an initial introduction in the support deal between Terra Rebels and Neblio. Binance at no time supported, backed, endorsed, brokered or played any other role in the support deal between Terra Rebels and Neblio.

— Terra Rebels (@TerraRebels) October 25, 2022

Notably, popular Terra Luna Classic (LUNC) influencer Classy Crypto also reiterated the message, sharing a screenshot of a note for Terra Rebels admin ClanMudhorn asserting that the spreading of information to the contrary was getting the Rebels in trouble.

The Neblio Deal

As reported by The Crypto Basic on October 11, Neblio became an official supporter of the Terra Classic chain through a planned sponsorship of the Terra Rebels. Notably, Neblio will offer infrastructure, financial and advisory support.

Per the leaked confidential agreement, Neblio will provide funding to the Terra Rebels in two tranches. Neblio will release the first tranche to the Rebels after the deal passes the group’s governance vote, earmarked for several infrastructure revitalization projects on the LUNC chain. Notably, after the Neblio team is satisfied that the Rebels have completed these projects, a second tranche will be released to the Rebels to be used at their discretion. Neblio will do all of these in exchange for promotion by the Terra Rebels.

While the deal promises to revitalize several critical LUNC chain infrastructures and incentivize development, some community members remain apprehensive.

Some LUNC Members Express Concerns

Notably, DemonMonkey777, an influential community member, who is also responsible for leaking the confidential agreement between the Rebels and Neblio, has expressed several misgivings about the partnership. DemonMonkey777 concerns include; the lack of transparency on the value of the deal, the desired anonymity by members of the Neblio team, and the lack of clarity on how the Terra Rebels will use the second tranche.  

Really make sure to read every word on these #LUNC COMMUNITY! ESPECIALLY the last part on page 1 restrictions on page two 2-4! Read it and read it again. So neblio pays TR to control the keys to the chain and the rest of the money can be used for whatever they choose?Not on lunc? pic.twitter.com/BXo0f4aPpR

— DemonMonkey777 (@DemonMonkey777) October 16, 2022

Meanwhile, famous Terra whistleblower FatMan described the deal as a “death blow to Terra Classic.”  In an earlier comment, he had described it as a “cash grab” in exchange for shilling the Neblio chain.

Terra Rebels, the initially promising group of ragtag volunteers directing LUNC, has started accepting "private sponsorships" from competing L1s and wants to tax all on-chain transactions to pay "contributors". RIP, death blow to Terra Classic unless a competent faction steps up. https://t.co/CSUncD60Mn

— FatMan (@FatManTerra) October 16, 2022

Terra Rebels Respond To Concerns

Notably, in response to concerns by DemonMonkey777, Tobias Andersen, AKA Zaradar, a member of the Rebels and a Terra Classic core developer, highlighted that it is natural for sponsors to allocate funds to members of the team as part of a sponsorship deal. Zaradar also implied that it is fair that the team got compensated for its work, asking if the influencer preferred that they perpetually worked for free.

Other then being a confidential document that was somehow leaked to you, it’s is also perfectly natural to be able to administer sponsorship to buy new stuff for your players ? but I suspect you would rather have use working for free or not at all ?

— Tobias Andersen (@ZaradarTR) October 16, 2022

Meanwhile, Raider clarified that Terra Rebels would not be promoting the Neblio chain or coin. Instead, the promotion Neblio will get in exchange for its sponsorship will only revolve around its support.

To clarify some misunderstandings surrounding the support from Neblio: TR is not promoting Neblio's chain or coin, we are promoting how the support will benefit the #TerraClassicCommunity. We need funding to continue our work. End of.

— Raider (@Raider7019) October 16, 2022

It bears mentioning that in the crypto space, there is a general apprehension about Venture Capital funding as community members often fear that the goals of VCs may not always be in the community’s best interest.