After a grueling two weeks for the Terra community, the team behind the project announced revisions to their proposed revival plan for Terra (LUNA) and TerraUSD (UST).
In a Tweet, Terra shared three major revisions to the proposed Terra revival and redistribution plan. These include increasing the genesis liquidity, introducing a new liquidity profile for pre-attack LUNA holders and decreasing the distribution to post-attack UST holders.
1/ We have published an amendment to Proposal 1623, incorporating the community’s feedback since its publication 2 days ago. Please see below for details https://t.co/liISBn3Baa
— Terra Powered by LUNA (@terra_money) May 20, 2022
The announcement noted that pre-attack Anchor UST (aUST) holders, post-attack LUNA holders and post-attack UST holders’ initial liquidity parameters are modified. The change will be from 15% to 30%, and according to Terra, this may “mitigate future inflationary pressures” and increase the token’s supply during the launch.
Apart from this, wallets that hold less than 10,000 LUNA will get the same liquidity as the aforementioned groups. Moreover, 70% of their LUNA will be vested in over two years, with a cliff of six months. Terra said it believes that this new liquidity profile will ensure that small token holders will have similar initial liquidity.
Lastly, the allocation for post-attack UST holders decreased from 20% to 15%. According to Terra, this “dpeg related allocation is on par with the original stakeholder (pre-attack $LUNA) allocation.” The 5% will be moved to the community pool.