Terra has opened voting on its highly contentious proposal to hard-fork the blockchain, founder Do Kwon said on Wednesday.
Early voting indicates that over 78% of the community is in favor of forking the blockchain and creating a Terra Version 2.0. About 21.7% of holders have voted against the proposal and invoked their veto powers.
The new Terra will discard the UST stablecoin, which will be retained by the older version. The old Terra will be called Terra Classic, while its native token will be called LUNA classic.
But the results of the early voting largely contrast the broader rhetoric surrounding the Terra blockchain. Holders on Twitter had opposed the forking of the chain, as had a preliminary vote.
Who is behind the Terra fork proposal?
So far, only 54.9 million voters of the eligible 376.2 million have cast their ballot. The vote will be open for seven days.
The proposal to fork was put forward by a coalition of several Terra developers, calling themselves the Terra Builder Alliance. The group consists of several Terra validators, as well as DeFi apps such as Nebula Protocol, Nexus Protocol, and Terraswap.
The proposal, called the “LUNA Go Forward” Proposal, will initially fork the Terra chain into a new chain and create a new LUNA token. This token will be airdropped to all stakeholders in Terra, with a snapshot to be taken both before the crash and after.
Do Kwon’s Terraform labs will still retain a major role in maintaining Terra’s infrastructure. The new network is set to launch by May 27.
Validators, DeFi apps rally behind Kwon
While several individual holders and personalities had widely opposed Terra’s hard fork, the move saw growing support among its developers.
All the members of the Terra Builder Alliance had expressed their support for forking, even before the proposal was put to vote. The alternative to forking, which is being pushed by several major crypto figures, is using Terra’s existing reserves to repay investors hit by the crash.
Still, it is unclear how much goodwill Terra retains in the wake of the crash. Founder Do Kwon is also facing potential criminal charges in South Korea over the collapse.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.