According to the CEO of a validator runner in South Korea, Terra Labs should permanently halt the old Terra chain.
CEO of DSRV – a blockchain solutions company – published an opinion piece on his account. He explained how the Terra team danced around the possibility of ceasing block production when Terra (LUNA) values plummeted. Also when the TerraUSD (UST) stablecoin depegged. He is now urging Terra ecosystem validators to reject a hard fork in favor of a completely new community-driven blockchain.
DSRV on halting Terra chain
Kim wrote that the Terra Validator League, or the “Terra Rebirth League,” did not decide to halt the blockchain lightly. But the Terra team failed to give the proper notification using the word “Confirm”. That is to confirm with all validators that they should halt the chain, leaving him feeling “betrayed”.
DSRV operates a validator node on Terra with 9.36% of the on-chain voting power. DSRV has lost as much as any other investment. That is because its node had accumulated 14 billion LUNA by May 8. It was valued at around $1 billion in LUNA and is now worth roughly $3 million.
Meanwhile, on Friday, Terra founder Do Kwon recommended reassembling the blockchain and reducing the token supply to 1 billion LUNA. Kim appears to disagree with Kwon, writing in his post that reusing the chain completely reduces the internal value of the Terra chain to zero.
“The previous chain should permanently vanish,” Kim wrote. “And a completely new chain driven by the community should [be made to] save the Lunatics.”
LUNA stumbles
According to CoinGecko, a sell-off of UST tokens on May 8 created a panic, causing the price of LUNA to plunge from $73 to a tiny $0.000000999967 on Friday. As a result, UST is severely depegged from the dollar, trading at $0.16, down 30.8% in the last 24 hours to $0.00026619.