As they traverse various proposals, the Terra Classic community finds itself at a vital turning point. Particularly after a decline in the price of Luna Classic (LUNC), worries have been raised about a rapid surge of spam proposals. In order to overcome this difficulty and improve Terra Classic’s general governance, a new proposal has surfaced that would significantly increase the minimum deposit requirement. Let’s examine this concept in more detail and see how it might affect the ecosystem of Terra Classic.
A Solution to Combat Spam
At the heart of this development is Proposal 11780, aptly named the “Initiative to Address Spam Proposals by Raising Minimum Deposit to 5M LUNC.” The primary objective of this proposal is clear: elevate the minimum deposit requirement from its current threshold of 1 million LUNC to a more substantial 5 million LUNC. The rationale behind this move is to establish a higher barrier for spam proposals, preventing them from advancing beyond the deposit phase.
This measure is a proactive response to the recent surge in spam and irrelevant proposals that have inundated the Terra Classic community’s voting platform. Validators and developers alike agree that the existing 1 million LUNC threshold is no longer sufficient in deterring these disruptive proposals.
Developers from Hexxagon, the team responsible for the community-owned Station wallet, have observed a notable uptick in spam proposals. This trend has raised concerns about the integrity of the Terra Classic governance system and the potential dilution of meaningful proposals.
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Currently, Proposal 11780 is under consideration, with a breakdown of votes indicating 34% in favor, 64% against, and 2% in the category of “No with veto.” Notably, nine validators, including influential entities like Hexxagon, Lunanauts, and Coinpayu, have expressed their support for the proposal. The deliberation and outcome of this proposal will significantly shape the future governance landscape of Terra Classic.
Preparing for Upgrades
Beyond the governance-related challenges, Terra Classic is preparing for the v2.2.1 core upgrade, scheduled for September 12 at 9:57 am UTC. This upgrade signifies the community’s commitment to continuous improvement and innovation.
Additionally, Terra Classic’s quant team, responsible for TerraUSD Classic (USTC), has initiated discussions with centralized exchanges. Their objective is to reestablish the peg of USTC, an essential step in ensuring the stability and reliability of Terra Classic’s native stablecoin.
As Terra Classic experiences increased trading volumes and community-driven proposals gain traction, the ecosystem’s resilience and adaptability are being put to the test. It remains to be seen how the community will respond to Proposal 11780 and whether it will successfully deter spam proposals, safeguarding the integrity of Terra Classic’s governance system.