Terra’s LUNA fork has gone live, engineering the genesis of a new blockchain and the rebirth of the Terra ecosystem while preserving the community.
Terra has announced the launch of the new Terra 2.0 blockchain on May 28 to the community after the historic Terra ecosystem collapse, which resulted in large losses for investors.
Block 1 of the brand new Terra blockchain (with the chain id “Phoenix-1) was officially generated at 06:00 AM UTC on May 28th, 2022. According to Do Kwon, public node services, wallets, and explorers should be available soon.
What are the expectations for the new chain?
The fork effectively creates a new Terra chain without the algorithmic stablecoin. Terra Classic ($LUNC) will be the old chain, and Terra ($LUNA) will be the new chain.
LUNA Classic stakers, LUNA Classic holders, residual algorithmic stable coin UST holders, and Terra Classic essential app developers will all receive the new LUNA token as an airdrop.
Those who received the LUNA airdrop can check their wallet balances on the new chain by going to their Terra Station browser extension and selecting the “Mainnet” network.
Staking LUNA to their favourite validator(s) on Terra Station to gain incentives and participate in governance choices, utilizing it on dApps upon launch, or trading it on an exchange are all options for users with liquid $LUNA.
You only need to log into the station and refresh the website to see your $LUNA (or $LUNA2, as some exchanges refer to them) token holdings. Create a station wallet with the same ledger for new users coming in via IBC et cetera, and station should help you through the remaining processes.
Users have agency over which validator(s) they stake their coins to (or if they choose to continue staking at all) in order to receive staking incentives and participate in governance for staked, vesting $LUNA.
This can be done by redelegating or by undelegating (waiting the 21-day unbonding period) and then redelegating. Users will earn staking incentives while their LUNA is staked and in the process of vesting, which may be collected at any time.
The airdrop does not guarantee that investors will recover all crash-related losses, but it does represent the start of the Terra community’s next chapter.
Terra Classic dApps will need to relaunch on Terra 2.0, as it is a fresh chain rather than a fork. According to Terra, the dApps that go live on the new chain will make announcements about new advancements.