Terra LUNA Classic has no future, say Terraform Labs insiders

Terra LUNA Classic has no future, say Terraform Labs insiders

  • Verified LUNC validators provided insight into Situation Room conversations prior to the 2.0 launch.
  • LUNC and LUNA are trading at $0.00008555 and $5.39 respectively.
  • Do Kwon was the least involved in the war room instituted before the launch of the new Terra Channel.

In a series of interviews, a group of insiders revealed that Do Kwon, the CEO of Terraform Labs (TFL), was the least involved in the war room instituted before the launch of the new Terra Channel, Terra 2.0.

These were the verified LUNA validators involved in the launch of TFL’s new channel.

Based on the chat logs, validators ThorchainMaximalist and PFC said there were significant issues with Terra’s crisis management process. They noted that during the collapse they had lost most of their net worth.

The group also said it had abandoned on-chain governance since people collected billions from Terra LUNA Classic (LUC) in the final hours of the crash. This would leave on-chain governance in the hands of the people who have accumulated the most LUNC tokens.

Asked about the future of LUNC, they expressed a negative view of the token. One of the validators said:

I don’t think he has much of a future. I am actively validating on classic and will continue to do so until there is no more traffic. People are still using it and getting value out of it… so who knows, it may continue to work for a while and have its group of people using it.

Changpeng Zhao, the CEO of Binance, tweeted that Binance Labs made a $3 million investment in Terra in 2018, in which they received 15 million LUNA tokens in exchange for their investment. However, Binance lost the invested capital by taking advantage of the position. The CEO also known as “CZ” argued that the investment was worth $1.6 billion at its peak.

At the time of writing, Terra LUNA Classic (LUNC) and LUNA 2.0 are trading at $0.00008555 and $5.39 respectively, according to CoinMarketCap.

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