Early this week, developers at the failed crypto firm, Terraform Labs, unveiled a new proposal to revive the LUNA ecosystem.
The announcement comes as Do Kwon, founder of the platform, faces charges for fraud. The South Korean authorities have put out a warrant for his arrest and are on the lookout for him.
Kwon, however, says that he’s not on the run, despite citing safety concerns when he declined to say where he is currently residing.
4-Year Plan Titled ‘Terra Expedition’
The proposal for reviving the LUNA network is a revised edition of the developer alignment and mining programs that were set up when the network first started.
But before the plan can go into effect, the majority of tokens must vote in favor of the proposal. The details show that 9.5 percent of the total LUNA token supply will be used to fund the new program.
These tokens were designated for the launch of a new terra blockchain after the initial network and two of its tokens, LUNA and terraUSD, collapsed in May.
Current information on the proposal says that the new network’s incentive program would operate for four years. Moreover, a committee will be elected by the committee to evaluate the plan on an annual basis.
The main proposal elaborates that the expedition is a program meant to enhance LUNA ecosystem. It will do so using initiatives with three core objectives, particularly onboarding new users, increasing liquidity, and incentivizing developers to build the ecosystem.
20 Million LUNA Tokens Designated For Developer Grants Program
Among the allocated funds, about 20 million LUNA tokens are designated for a developer grants program. Under this plan, different app developers will get an incentive after a complete audit and rollout of the LUNA network.
The proposal pointed out a few examples of projects such as derivatives protocols, stablecoin issuers, lending protocols, and decentralized exchanges.
Projects can also be reimbursed up to $40,000 for conducting smart contract audits. This will help in ensuring stringent security for the upcoming network.
Considering how this year has seen a growing number of crypto hacks, such a change is much needed.
Liquidity Mining Incentive Scheme worth 50 Million LUNA Tokens
Developers have also proposed a liquidity mining incentive worth 50 million LUNA. In the beginning, the tokens will be used to fund the initial liquidity of bridges, stablecoins, decentralized exchanges, and other such protocols that were previously present on Terra.
According to the proposal, the liquidity incentive would be distributed over the course of four years. Moreover, they’ve proposed a 5 million LUNA awareness for users as a way to incentivize the use of DApps and bridges on the network.