- Terra Luna Classic retraced 35% in a month, entirely evaporating March’s gains.
- Layer-1 chain devs Genuine Labs impose a major security package upgrade.
- Terra Classic members debate plausible reasons behind LUNC’s downtrend.
Terra Luna Classic’s developing company, Genuine Labs, has published its latest bi-weekly report on the technical developments on the Layer-1 chain. This includes a critical review of the chain’s security, which has been a hot topic among community members ever since Terra Classic’s rebranding from Terra (LUNA) in 2021.
In this edition, Genuine Labs summarizes the four main components of this chain security enhancement package, which include:
- Core Repository Upgrade. According to Genuine Labs bi-weekly attestation, the core repository upgrade is crucial “to ensure compatibility with the updated dependencies”.
- E2E and interchain tests. This part is important to meet the highest compatibility criteria on the current Terra Classic chain version.
- Testnet with mainnet data alignment. Genuine Labs launched a testnet with the exported genesis file from the mainnet Columbus-5 upgrade.
- Bug prevention. Genuine Labs found a bug in Terra Classic’s chain that could halt the blockchain under certain circumstances and carried on to eradicate the bug from the L1.
Meanwhile, the Terra Luna Classic community took it upon themselves to reduce the supply of LUNC in the community-initiated burning campaign. On April 9, the cumulative Terra Luna Classic burns scorched past 110 billion, reducing Terra Luna’scirculating supply to 6.797T.
Why Is Terra Classic’s Price Lagging Behind?
As most Terra Luna Classic community members are enthusiastic about the new upgrades on the Layer-1 by Genuine Labs, the overwhelming majority of LUNC holders are dissatisfied with the latest Terra Classic’s price movement. Some chain validators took it to X to chew over the reason for LUNC’s lackluster price performance.
According to community member Terra Haber, futures trading suppresses the prices of Terra Luna Classic and Terra Classic USD (USTC). DailyCoin examined this claim using real-time on-chain data provided by CoinGlass. We saw a double-digit drop in Open Interest (OI) and trading volume for both LUNC and USTC in the Derivatives markets.
The thesis of Derivatives traders suppressing LUNC is strengthened further due to the long versus short position ratio being clearly on the bearish side, as the scales point to 0.8308 on LUNC’s regular contract and 0.8539 on Terra Classic’s 1000LUNC Perpetuals smart contract.
On the Flipside
- Genuine Labs encountered a crash-worthy bug linked to the Wasm module on-chain, which was concealed in the two-week report. Hackers could potentially exploit the sensitive information.
Why This Matters
Implementing chain upgrades in relation to security and scalability helps the chain to stay relevant amidst the quickly changing landscape of digital finance.
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