If you have invested in Terra Luna before the crash or are a crypto enthusiast, then you may know about some of the recent developments made to the Terra Luna blockchain in lights of a terrible downfall. On May 7, the stable coin of Terra blockchain, TerraUSD (UST) came under the radar of malicious attackers. To keep the TerraUSD price stable more and more Terra Luna was dumped which resulted in a pathetic collapse of Terra Luna. By May 12, the Terra Luna’s price fell from $80 to a few cents.
Consequently, a lot of people lost their hard-earned money which they either invested in the TerraUSD or Terra Luna. The Terra blockchain was also halted due to this fiasco and the Terra Luna is now rebranded as Terra Luna Classic (LUNC). One thing that is most disturbing in this whole scenario is the incompetency of the developers to tackle the issues and problems that were created during the attack to minimize the damages, but the developers completely failed in it. It will definitely shake the confidence of a lot of crypto investors and will make them think twice before investing any penny in the crypto market. This also makes us think about the future of crypto and how these issues can be tackled in a rapidly developing and volatile crypto market.
The holders of Terra Luna Classic were also airdropped some new Terra Luna coins according to the pre-purchase and post-purchase but as of now it is nowhere near to the loss suffered by the holders, and it will be completely wrong to consider it as some sort of compensation. Now a million-dollar question arises whether the Terra Luna Classic will ever be able to recover itself and reach its ultimate glory again. Analysts believe that the Terra Luna Classic will continue to go down because Du Kwon, the CEO of Terraform Labs and his team has completely given up on the Terra Luna Classic and are now focussing on the new token Terra Luna. On-chain data also reveals that the Terra Luna Classic is facing a decline in social dominance which shows more and more people are becoming less-interested in Terra Luna Classic (LUNC). This could have a significant impact on the future of Terra Luna Classic (LUNC) because crypto market highly relies on demand and supply rule.
Some market analysis tells us that as of writing whopping 6.545 trillion Terra Luna Classic are in circulation with a total market cap of $448.74 million. To change trend for some upward movement we need to see some massive burn of Terra Luna Classic to decrease the supply. There are a lot of proposals on different social media platforms suggesting various ways to burn Terra Luna Classic. Until some sort of burning mechanism or any other method is not applied which causes to decrease the supply, the future of Terra Luna Classic looks quite bleak. Any successful experiment can result in positive outcomes, and we could see a lot of millionaires around us. Still, it’s not a financial advice to invest in Terra Luna Classic because it’s a completely volatile market and anything can happen any day. So, take decisions keeping in mind your financial position and not invest more than you can afford to lose.