Multiple cryptocurrency exchanges have moved to back the reboot of Do Kwon’s Terra project and the revival of its Luna token after its community voted to approve the launch of “Terra 2.0”.
The rehashed project is being backed by most of the cryptocurrency exchanges that supported the original Luna token, including big ones such as Binance, FTX, and Bitfinix.
Terra 2.0 was touted as the rebirth of the Luna cryptocurrency that spectacularly collapsed in value earlier this month, having once been ranked as a top ten coin in terms of its market cap. Luna’s token price became effectively worthless following what many suspect was an attack on its sister token, the UST stablecoin, which was supposed to be pegged 1:1 with the U.S. dollar but also lost most of its value.
In the wake of the crash, Terra founder Do Kwon moved quickly to revive the project and the Terra 2.0 blockchain is now live with the new Phoenix-1 mainnet launch. The relaunch saw new Luna tokens airdropped to everyone who held the original Luna token prior to its crash.
Terra 2.0 is designed to maintain the extensive ecosystem of blockchain projects built on Terra and provide community members who collectively lost billions of dollars in value with an opportunity to recoup some of that.
A long list of exchanges have gotten onboard with the plan. Along with those mentioned above, others that support Luna 2.0 include AAX, BKEX, ByBit, Bitget, BitMart, Bitrue, CoinSwitch Kuber, Coinmetro, Crypto.com, HitBTC, Gate.io, Kraken, Kucoin, Lbank, Lemoncash, MEXC Global, OKeX, and many others.
The above exchanges all supported the new airdrop for Luna 2.0 tokens, meaning that users who held LUNA in their accounts prior to the crash received an equivalent number of the new cryptocurrency.
In the meantime, a number of exchanges also delisted the original Luna, at least temporarily, as the token was renamed as “Luna Classic”.
It’s thought that the support of major cryptocurrency exchanges is critical to the chances of Luna 2.0 succeeding in reviving the Terra blockchain project. Luckily for Do Kwon, the world’s biggest exchange Binance was also the first to get onboard with the idea, tweeting that it’s working closely with Terra to get things back up and running. Notably though, it only began supporting Luna 2.0 from May 30, two days after the relaunch.
The Terra community just passed a vote to ‘Rebirth Terra Network’.— Binance (@binance) May 25, 2022
We are working closely with the Terra team on the recovery plan, aiming to provide impacted users on Binance with the best possible treatment. Stay tuned for further updates.
AAX was also quick to voice its support for Terra 2.0, saying on Twitter it has integrated the new blockchain and consequently renamed LUNA and UST as LUNAC and USTC (Luna Classic and UST Classic). Upon the relaunch, deposits, withdrawals and transfers were made available immediately, with spot trading reopening one day later on May 30.
Due to the new #Terra 2.0 chain integration, the #LUNA & #UST tokens have now been renamed to #LUNC and #USTC at #AAX.— AAX (@AAXExchange) May 30, 2022
🥳Deposit, withdrawal & transfer are live now
🎃Spot trading will be open at 11AM, May 30 (UTC )
Details: https://t.co/hbRqnnUO8Q pic.twitter.com/JIuFHudNzm
Another major exchange that originally remained silent on the entire Terra debacle surprised its users with the unexpected tweet that it too, will support the Luna airdrop and a Luna 2.0 listing.
⚠️ In support of the new LUNA token airdrop, the https://t.co/vCNztATSCO App and Exchange will temporarily suspend $LUNA trading, and deposits/withdrawals via Terra on 26 May at 12:00 UTC until further notice— Crypto.com (@cryptocom) May 26, 2022
⏳ Stay tuned for more updates
Details: https://t.co/OKNc3B3bBF pic.twitter.com/kmovRK7mBC
Luna 2.0 has since began trading on multiple supported exchanges, but within minutes of going live it saw a massive price correction. Luna 2.0 opened on the revived Terra blockchain with a price of approximately $19.50 and saw its value drop almost immediately to around $6.60, according to CoinGecko’s data. The token has since regained some value and was trading at around $9.60 at the time of writing.
Not every exchange that previously supported Luna and UST has moved to support Do Kwon’s relaunch. Most notable is the rejection of Terra 2.0 by every major cryptocurrency exchange in Kwon’s home nation of South Korea. According to Pulse News, the Coinone exchange announced it would delist Luna on June 1, making the coin inaccessible in South Korea after similar moves by Korbit, Upbit, Gopax and Bithumb. Coinone also revealed its discontinuing support for UST, as well as the Anchor Protocol DeFi platform associated with the Terra project.
None of the Korean exchanges have announced support for Terra 2.0 so far.
A Luna 2.0 listing on Coinbase, the top U.S. cryptocurrency exchange, is also unlikely given the internal debate among Coinbase staff over the morality of listing projects that many perceive to be “useless” or even “scams”. Coinbase had never listed the original Luna token either, though it did support UST and “wrapped LUNA” that was bridged to Ethereum.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice