Due to the continuing impact of Terra USD (UST) losing its currency peg to the dollar, the volume of traded LUNA has increased by more than 1.9 million percent in the past seven days.
The amount traded for LUNA was about 342 million seven days ago, according to data shared by crypto analyst Ali Martinez.
So far, the circulating supply has increased by 6.18 billion, bringing the total to 6,531,899,614,602 LUNA.
The price of the digital currency LUNA collapsed almost to zero last week, while the UST stablecoin has completely lost its correlation, as it is currently trading at $0.11.
LUNA has lost its price by 100% in the past 7 days, creating more of them.
At press time, LUNA is trading at $0.00019.
Will Project Terra ever return?
Over the weekend, Do Kwon, founder of Terraform Labs, "proposed a plan to get the project back on track.
In a post on a Terra-related forum, a proposal was made to fully restart the Terra blockchain, with ownership of the entire network distributed to UST and LUNA holders across 1 billion new cryptocurrencies.
- The CEO also acknowledged that Terra's ecosystem had completely collapsed.
- 40% of the new cryptocurrency will be distributed to LUNA holders, who owned the tokens prior to the decoupling event, with another 40% allocated pro-rata to UST holders.
- The remaining 20% will be distributed to LUNA holders who retained it at the end of the network downtime, and the remainder will be used to fund future development.
- With this approach, the Terra founder hopes to encourage existing members to remain on the board after the project fails.
Terra's UST stablecoin, which was supposed to be pegged to the dollar, has tumbled to death by leaps and bounds, eliminating billions of dollars in value.