Co-founder and the big man behind it Ethereum (ETH) Vitalik Buterin Network recently talked about the demise of Terra (LUNA) and stable UST. According to Buterin, in any scheme to compensate investors, Project Terra should focus on small investors, not on them whales†
As reported widely, the Terra ecosystem nearly bled to death around May 9, causing Terra to drop by 100% and TerraUSD (UST) stablecoin It has pegged its currency to the US dollar. At the time of writing, floor cabinets are still worth only $0.16.
The community is now looking at how to revive the Terra Network. part of a possible plan It will also compensate investors who suffered huge losses after the collapse of the underground reservoirs. For example, it is said that at least a part of the original floor treasury balance must be compensated to the investors. This will cost between 1 and 1.5 billion dollars.
Vitalik Buterin took to Twitter to say he was behind this plan. According to him, it is important to compensate the holders of floor cabinets. However, according to Buterin, it is important that small investors get attention here. According to Buterin, it is they who need money the most. According to the founder of Ethereum, whales can absorb the blow much better.
“Coordinated condolences and relief to the average floor cabinet holder who has been told something stupid about ‘20% interest for a USD influencer’, personal liability and ‘sorry for your loss’ (SFYL) to the wealthy.”
We strongly support this. Coordinated sympathy and relief for ordinary smallholders who have been told something stupid about “20% interest rates on US dollars” by influencer, personal liability and SFYL for the wealthy. https://t.co/YfNlpvAizg
– Vitalik.eth (@VitalikButerin) May 14, 2022
It is still unknown whether such a plan will actually be implemented at this point. Restoring Terra Network will cost a lot of money and it is not clear where that money should come from. In addition, trust in Grid also dried up considerably.
Another idea being floated online is the development of a hard fork upgrade for the Terra blockchain called “TERRA 2,” with the launch of a liquidity pool to reconnect terrestrial reservoirs. Including the CEO of Binance, Changpeng ZhaoHowever, he sees no point in this plan whatsoever.
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