Just a few hours ago dokwan and the luna team released a new plan were going to be running through the details, breaking down the important points, because i think this could be the best chance. Luna has at a comeback so lets dive right. In first of all, we all know uh, you know, since the debacle a couple days ago, basically luna has arrived at zero, essentially here and has kind of flatlined over the last couple days: uh the ust, stable coin, the tara peg. This has not returned even remotely close to a dollar weve been fluctuating between 18 cents and 15 cents over the last couple days since the initial meltdown, but initially when this actually happened. Tara and dokuan the rest of the team released this kind of initial emergency. Threefold action plan that they were going to take action on before actually doing anything else right. So here are the initial uh three proposals, so first of all, they were going to burn the remaining ust in the community pool uh. They were going to burn the remaining 371 million uh ust cross chain on ethereum um, and then this they actually did uh the last two. I believe they tried but did not succeed at, but they staked 240 million luna tokens to defend from network governance attacks. Now this was a great kind of response to the initial kind of emergency frantic reaction from the community, but at the same time, this wasnt anything long term and didnt really restore too much confidence, uh in dokwan and the rest of the luna team.

So just a few hours back, dokuan and his team released this more comprehensive plan and were gon na walk through this and kind of point out the most important aspects of it and dive into what you guys need to know. So, first of all where this all started from – and this is kind of what uh dokwan details here in the first couple sentences. But basically the community and validator groups were discussing the launch of a fork of the terror chain, meaning theyre going to take the actual um data. The actual development of the terror chain copy that copy that code and make a new ecosystem. Thats separate from this kind of ust, uh de pegging event, essentially creating a new uh project. Now he says that this is necessary, because even if the peg were to eventually restore after the last marginal buyers and sellers have capitulated, the holders of luna have so severely been liquided and diluted that they will lack the ecosystem to build back up from the ashes And so, while a decentralized economy does need decentralized money ust, the stablecoin has lost too much trust with its users to play the role, um and hes totally right here. You know you saw this kind of capitulation across crypto, a loss of trust in other crypto projects. We even saw a tether dpeg a bit that same day. I think it, you know, dropped a few points um which isnt out of the norm, but you could see the effect on the trust of stable coins.

People pulling out, you know to go to usdc or just straight cash and put it back into their bank account, but nonetheless it did affect trust not only in usc but across the whole crypto market. Now, what hes going to lay out here are just a couple of things that he wants this fork to take with it and why he thinks there should be a fork built on tara and not necessarily an entire different project with a totally different brand. But a different project with the same brand, so here hes talking about how they built up one of the largest and most vibrant developer ecosystems, and this is totally spot on. This is why you saw capitulation across the entire crypto market when usc started to fall, because usc and luna are involved in so many different d5 protocols. So many different projects that, when this went down everything else, followed right so hes totally right when theyre supporting such a large ecosystem of great projects. He wants us to continue on, and the second piece is that terra station has a large install base with a million plus users across the world. Again millions of people have interacted with tara. You know its not something that you can just build up from scratch with no issues right, so he wants to make sure that theyre picking backing off of this success and taking that to the next level now lets get into uh. The really interesting part, which is kind of the specifics of the supply breakdown, what the plan is and the way forward.

So here we go. The main thing that i want to point out before we dive in here is that the network ownership is going to be 1 billion tokens to be distributed for this new project and the revival of luna uh. If we look back here its almost im laughing because its almost like a meme here, but we have 6.5 trillion luna, currently circulating meaning there is literally no reason its such a supply, heavyside coin, that theres no reason or no demand to even buy it so thats. Why were seeing literally no upwards uh price pressure here and also because it collapsed, but at the same time you know to have a total max supply of 6.9 trillion is just insanity, so its very, very clear to everyone, especially dokwan, that this needs to be brought Down so hes saying this new kind of fork of tara luna will have one billion tokens, and this is how hes going to break down kind of the initial distribution. So 400 million tokens about 40 percent are going to go to luna holders uh that had luna before the de pegging event. So hes gon na qualify this as the last one dollar tick before the dpeg on binance. Now the idea here is that its going to reward people who were holding luna through this holding it um, you know prior to the pegging event and getting them back um with some of this luna distribution um now another 40 percent um is in 400 million.

Tokens. Is going to ust holders uh pro rata at the time of the new network upgrade? So there was a patch that was installed a few days ago, um and now its really saying that he wants to make usc holders uh to be made whole as possible, because after this update you know they were promising a lot of fixes. Then obviously it fell out of the sky, so he wants to make them as whole as possible, which i think hes doing the right thing there. Now, the next uh piece here, another 100 million or 10 percent – is going to go to luna holders. At the final moment of the chain halt – and we covered this in uh – the last video i did – but the actual terra blockchain was halted yesterday and it took you know an hour or two for it to come back, and so the idea here is that the Last minute, marginal luna buyers should be compensated for the role in attempting to provide stability for the network, so even when it was not necessarily in their economic best interest, meaning the luna holders they still held on to it and dokwan wants to reward that now. The final 10 percent or 100 million left here are gon na, go to the community pool to fund future development. Now this is to um. Obviously, you know throw money at any emergencies that arise but also build out what the future of this forked luna project is going to look like, so they dont need to all of a sudden grab liquid from somewhere else, so all luna, besides the third tron.

So all luna that is left over after this is going to be staked in a network genesis state, meaning its going to be staked right away. Its not gon na you know its, not gon na go to someones wallet, and then they have to stake it right. So the idea is that its gon na be staked right away, its gon na lock up a certain uh level of that supply. Now the next piece here to wrap this off is that the network should incentivize its security with a reasonable inflation rate. I i dont know uh, you know i i dont make i dont create projects, i dont create crypto projects. I dont know how to build a blockchain, but seven percent seems like quite a pretty hefty inflation rate, but at the same time hes saying no fees. Uh will no longer be enough to pay for security without the swap fees so thats. What hes trying to make up with with this seven percent is because essentially there is going at least right now there is not going to be a terror swap um. You know there were a lot of swap fees that went to luna off at terra. Swap teraswap was a pretty popular d5 protocol, pretty uh popular way to swap in and out of ust and luna. So now that thats going to be going away and then probably need to build a new one thats, where hes saying this inflation rate needs to cover that now that weve broken down kind of where this initial 1 billion tokens is going to go and why lets Kind of get into you know the call to action.

The reasoning behind this. Why is dokuan doing this and kind of what does the future of the terror network look like? First of all – and he he kind of pointed towards us – alluded to this in the beginning of this plan, but he wants to redistribute uh this, amongst mostly the holders, because they need to own a large share of the network as the networks debt holders. They deserve to be compensated, and i could not agree with that more if theyre, taking that uh risk and theyre holding most of the network up and theyre most of the network debt holders, they need to. You know at least be compensated for. Uh whats happened with this downfall, so i think that hes doing the right thing there um, but the next uh piece here is pretty critical in terms of how he sees the future of the terror network surviving. So, first of all – and we actually brought this up in one of our last tara – luna videos but uh – the idea of ust was right on the money right. So a decentralized economy needs decentralized money, and this is an awesome visit vision. It just was that usc could not succeed in the way they did. It turned out to be more of a ponzi. You know economics kind of model um, and hopefully they can reiterate on that. So what he is saying is that the priority now is to preserve this amazing ecosystem and to make as many users and builders as possible out of it.

So the first goal is to preserve its layer, one so that people can continue to build daps. On top of it and additional protocols, and then also the community should gather to discuss decentralized money once the dust has settled so there isnt necessarily a uh ironed out step by step plan. But this is essentially the most accurate, most detailed framework that tara luna has released since this whole debacle. So the idea is, the community is going to rally around this theyre, going to essentially use this framework and build off this iterate on it, and eventually, what were going to likely see is an entirely new luna project that may not be branded as luna, but is A fork of the terra chain, so im actually im gon na, withdraw that last statement. Theyll probably use the branding of luna because its powerful, its its known, but at the same time theyre gon na go up against the fact that it also went through this. So there is a stain on the brand as well so its yet to be seen what this new uh fork of the terror chains is going to be called, but its safe to say that theyre determined to bring this back. The community sounds pretty determined. You know, as ive been going through twitter as ive been talking with other people prettier. You know, people are passionate about this project and they want to see it survive so im interested to see what happens.

I personally dont know if they can make a comeback, but this certainly is their best chance. Let me know what you think in the comments im actually really really curious, and thank you all for the support recently.

https://www.youtube.com/watch?v=7sIwNyOYXSs