Polygon wants Terra projects to move to its blockchain.
Terra boss Do Kwon’s proposal to create a new blockchain could be implemented. And this, despite the reluctance of many users.
As a reminder, a week has passed since blockchain boss Terra allowed a vote on a proposal for a plan to restore its weakened ecosystem. Do Kwon, the creator of the Luna cryptocurrency and its algorithmic stablecoin UST, has proposed a new recovery plan in the form of a “fork.” The goal is to try and save what’s left of the Terra blockchain.
Recall that a few weeks ago, the Luna cryptocurrency lost 99% of its value in just two days. It has reached its most critical course.
Recovery plan accepted
Online voting for the week has come to an end and the result is final. Luna cryptocurrency holders and blockchain validators overwhelmingly accepted the recovery plan. Of the 83.27% who voted, 65.50% voted in favor of the proposal, 0.33% voted against, 20.98% abstained, and 13.20% voted “against with a veto”. Namely, if this percentage “against with a veto” exceeded 33.4%, then the proposal would be rejected.
It is clear that 43 validators accepted the vote, 8 abstained and 3 voted against with veto power. 91 validators did not speak. Paradoxically, according to an unofficial poll published on the Terra blockchain forum, which included more than 7300 participants, 91% are against, while only 9% approve of this proposal. The new blockchain will see the light of day this Friday.
What does it include
The Terra blockchain will retain the Terra name, and the old blockchain will be renamed Terra Classic. Terra will be developed without the UST algorithmic stablecoin and will offer a limited supply of the Luna cryptocurrency. Namely, one billion units. The two blockchains will be able to coexist. On the part of investors and developers, the cryptocurrency should be redistributed to those who were present before or after the collapse of the moon.
It should be understood that the plan to restore Terra does not involve a “fork”, but the creation of a new blockchain. A blockchain fork is a modification of the basic rules. Specifically, it allows the creation of two blockchains, one of which retains the old protocol and the other a new blockchain that shares a history with the original chain. Here, the recovery plan follows a very simple model. 30% of the tokens promised to users who owned 10,000 Luna cryptocurrencies or less before its collapse will be issued when the new blockchain is launched. The remaining 70% will be issued within 2 years. Namely, that in the original proposal it was 15%, not 30%.
Do Kwon also proposes to reduce the distribution of the Luna cryptocurrency to terra stablecoin (UST) holders who have placed their token on the Anchor protocol in order to ensure its growth. The distribution share has been reduced from 20% to 15%, with the remaining 5% going to the community pool.
Polygon as a savior
Ryan Wyatt, CEO of Polygon, announced yesterday on Twitter that Polygon is launching a “multi-million dollar fund.” The “Terra Developer Fund” is expected to help Terra projects migrate from the Do Kwon blockchain to Polygon. Namely, Polygon is a parallel blockchain built to complement and help scale Ethereum.
As part of this recovery plan, Polygon is one of the networks that will welcome developers and their respective communities to their platform. Therefore, Polygon announced on Twitter that it is looking to migrate a certain number of protocols from the Terra blockchain to its blockchain network. On the social network, Ryan Wyatt admitted about this. “We are working closely with various Terra projects to help them move quickly to Polygon,” he writes. He adds, “We will commit capital and resources to these migrations to welcome developers and their respective communities to our platform.”
Specifically, the transfer of the Terra blockchain protocols to Polygon should give the blockchain a boost through the development of a more secure chain. The Polygon project will be implemented in partnership with OnePlanet, the leading NFT marketplace. The Terra OnePlanet NFT marketplace will be the first project to migrate, and OnePlanet will help Polygon migrate other Terra projects. Please note that OnePlanet should move to Polygon in the coming months. And, therefore, become a marketplace dedicated to all Terra NFT migration projects to the Polygon ecosystem.
In addition to Polygon, there are other networks that want to help Terra. Among them is the Fantom Foundation, which has offered to host projects through grants, adaptation, marketing, and a matchmaking program. JUNO Blockchain would like to allocate one million JUNO to help developers who want to move away from Terra Luna. Finally, VeChain takes a step forward with up to $30,000 in funding.
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