Terra 2.0 Community Has Started Voting on Proposed Distribution Method for 0.5% Emergency Luna

Jun 09,2022
KingData News: On June 9, the Terra 2.0 community has initiated a vote on a proposal to allocate 0.5% of the contingency funds. The proposal is to allocate this LUNA funding to projects who launched on Terra Classic and achieved product-market fit and TVL, projects that achieved product-market fit but have no measurable TVL and projects that have not yet achieved product-market fit, and to allocate 2.5 million LUNA, 1 million LUNA and 1.5 million LUNA to each of these categories. In addition, the proposal suggests a board of directors to be set up, formed by some long-time members of the Terra community, to oversee the allocation process.
This indicator provides follow-up on the depg of Terra's stablecoin UST on May 8th. Terra's stablecoin UST briefly lost its peg to the U.S. dollar on May 8th, dipping as low as $0.985. The depeg event came after a series of multi-million dollar UST selloffs as one account traded about $85 million worth of UST for USDC on Curve Finance, while another user reportedly sold $108 million worth on Binance. UST posted a slight recovery shortly after Terraform Labs CEO Do Kwon posted a tweet calling out the stablecoin's critics.