Investing.com – The downfall of the Terra blockchain is all but sealed as no one believes that the and LUNA can still be saved somehow.
But for founder Do Kwon, nothing is lost yet. It hints at the possibility of saving the ecosystem by transferring it to a new blockchain through a hard fork. This should be fully owned by the community as a confidence building measure.
The new LUNA could thus regain its former glory, while the currently almost worthless , would receive a new name – LUNA Classic.
The week-long voting phase on the proposal to create a new blockchain has already begun. But the future of Terra is already not announced under the best auspices. DSRV Labs and SolidStake have already voted no and can exercise their right of veto.
A large part of the community (92%) is against a hard fork. This is probably explained by the fact that one clings to the hope of recovering at least partially the lost capital. With a new blockchain, this straw would also be lost. One of the users wrote:
“I will support the fork ONLY AFTER someone on the team explains WHY we can’t implement a burn. The majority of the community wants it and is willing to stay and support the project. I don’t understand why this is is ignored. Until then, it’s a NO”.
Billionaire and founder of Galaxy Digital Holdings Ltd, Mike Novogratz, has always been a big defender of Terra in the past. As early as the fourth quarter of 2020, he invested for the first time in Terraform Labs.
He was so convinced by the project that he got a tattoo just a few months ago.
The investor, who is also very active in Twitter Inc. (NYSE:), has been quiet for the past few days, as investing in Terra was probably one of his worst decisions. He no longer believes in a comeback:
“Reserves are not enough to prevent the collapse of the UST. You are always smarter after the fact.
The testimonials of small investors who lost their savings in a single investment are heartbreaking.
My tattoo will be a constant reminder that venture investing requires humility.”
Galaxy, however, announced that it expects a loss of $300 million for this quarter, as reported by Bloomberg.
By Marco Oehrl