Terraform Labs (TFL), the core entity behind the once-prominent Terra ecosystem, has issued an important notice for users of its Terra Classic platform. This follows the collapse of its algorithmic stablecoin UST and its companion cryptocurrency LUNA, which led to a market crash and the loss of approximately $40 billion last year. Currently, the company is navigating chapter 11 bankruptcy proceedings while managing system updates and asset management protocols.
Key Date for Terra Classic Users
On August 28, Terraform Labs announced the reopening of the Shuttle Bridge interface. This platform is essential for users holding wrapped versions of LUNC (Luna Classic) and USTC (TerraUSD Classic), allowing transfers between the Terra Classic blockchain and other blockchains like Ethereum, BNB Chain (BSC) and Harmony.
The announcement specified the operational period for this service: “The new Shuttle Bridge interface to redeem wrapped assets is now open. […] The bridge will remain open until 30 days after the effective date of the chapter 11 plan, which is estimated to be on or around October 30, 2024. Redeem your assets as soon as possible to avoid any issues”.
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This limited-time opportunity allows users to retrieve their assets before the bridge is permanently shut down, with any remaining assets in the contracts set to be burned. “Users of the Terra Shuttle bridge on Terra Classic are recommended to use this opportunity to redeem their Terra Classic assets,” the announcement advised.
In addition, the company revealed a significant update via X: the final upgrade to the blockchain, known as Proposal 4818. This upgrade is part of TFL’s broader strategy to conclude its direct involvement in the ecosystem due to ongoing legal and financial restructuring.
“As TFL begins winding down its operations, Proposal 4818 will be the final chain upgrade that we implement. Following TFL’s settlement with the SEC and the implementation of its proposed chapter 11 plan, TFL will no longer be able to support future chain upgrades,” the statement explained.
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This marks a pivotal shift from Terraform Labs-led development to community-driven efforts to maintain and evolve the blockchain infrastructure. “Going forward, we look to community-driven initiatives such as the Phoenix Directive (@phoenix_dir) to take over maintenance and operational responsibilities for the blockchain,” TFL stated via X.
As of press time, LUNC is trading at $0.00008526.
Cre: bitcoinist.
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