Do Kwon, CEO of Terraform Labs, has suggested a new proposal to rescue the Terra ecosystem, which includes forking Terra layer-1 is subject to the outcome of a community governance poll.
The community governance poll has received 85 million votes in support of his plan to develop a new blockchain “without the algorithmic stablecoin” TerraUSD (UST).
More than 91 percent of votes in a proposal opened to the Terra (LUNA) community on Wednesday were in support of “rebirthing” the Terra network — around 85 million out of 93 million, with up to 284 million votes left to be cast. The proposal needs around 188 million votes in favor to pass before the May 25 deadline.
Terra infrastructure provider Orbital Command, which holds 1.39 percent of the voting power, is the biggest validator to come out in favour of the proposal at the time of writing. Major validators with more than 2% voting power, such as cross-chain stablecoin bank Orion Money protocol have yet to make a decision.
Kwon’s Monday governance plan proposed for a separate chain dubbed Terra, which would be unrelated to UST and use the token LUNA. The “old” blockchain, known as Terra Classic (LUNC) will continue to support “residual UST holders.”
In addition to forking Terra, the proposal, if approved, would airdrop LUNA tokens to “Luna Classic stakers, Luna Classic holders, residual UST holders, and essential app developers of Terra Classic.” Terraform Labs’ wallet would also be removed from the whitelist for the LUNA airdrop, making Terra a “fully community-owned chain.”