Terra Luna Classic Increases Validator Count to 130 Amid TFL and SEC Settlement

• The Terra Classic community has proposed increasing the validator set to 130 on their blockchain.
• This proposal aims to welcome back Terra (LUNA) validators following a settlement with the U.S. SEC by Terraform Labs.
• Investor interest is reflected as LUNC and USTC show significant buying activity amongst derivatives traders.

Discover the latest proposal to expand Terra Luna Classic’s validator set and its potential impact on the blockchain community.

Terra Luna Classic’s Proposal to Increase Validator Set

The Terra Luna Classic network has put forth proposal 12116, aiming to increase the validator set from 100 to 130. This potential move is seen as a way to enhance the decentralization of the network. Following a $4.5 billion settlement between Terraform Labs and the U.S. SEC, the community is looking forward to reintegrating validators from Terra Luna v2 into Terra Classic.

Community Support and Opposition

As governance voting is ongoing on the Station wallet, 38.04% of the votes are favorable, despite opposition from major validator Allnodes. Citing that the current LUNC required for the active set is manageable, Allnodes voted “No”. However, the proposal has garnered 93.43% delegate support, signaling strong community backing.

Impact on LUNC and USTC Prices

Despite optimistic voting trends, Terra Classic ecosystem tokens like LUNC and USTC are facing resistance in breaking higher price levels. LUNC’s price saw a brief 2% rise but corrected to $0.00009079. The 45% decrease in trading volume indicates a cautious stance among traders. USTC also experienced a 1% decline, settling at $0.01847 after hitting an intraday high of $0.01972.

Futures Market Activity

Data from CoinGlass reveals that futures traders have notably influenced LUNC’s price action. A 4% jump in open interest was observed, yet this was followed by traders selling off their positions. This activity underscores a volatile trading environment, potentially influenced by broader market uncertainties.

Conclusion

The proposal to extend the validator set appears to have significant backing from the Terra Luna Classic community, promising to further decentralize and strengthen the network. Nevertheless, current market conditions demonstrate trader caution, which is evident in the price behavior of LUNC and USTC. The outcome of this proposal holds substantial implications for Terra Classic’s future trajectory in the blockchain space.