Over two weeks after the Terra LUNA and UST fallout, a whistleblower dubbed “Fatman” published an alleged chat log between the project’s co-founder Do Kwon, Terra validators, and infrastructure providers from the Terra blockchain community. If the chat log is legitimate, Fatman claims the document proves over 50 people “knew about the [network] halt before it happened.”
The “Terra Rebirth League” Discussion
On June 1, 2022, a whistleblower called “Fatman” (@fatmanterra) published a chat log that allegedly shows a discussion about Terra’s blockchain halt before it happened. Bitcoin.com News reported previously on Fatman, where the Twitter account had accused Terraform Labs and Do Kwon a variety of questionable acts. On Wednesday, Fatman explainedAn anonymous source gave the whistleblower a document showing Do Kwon and Terra community members discussing a stop to chain.
I was provided the pages missing from the internal validation chat by an anonymous source. This tweet contains the link. Make no mistake – a chain halt was necessary – but it would be interesting to see if anyone in here maps to the big LUNA buys that happened right before.
— FatMan (@FatManTerra) June 1, 2022
Bitcoin.com News reported that the Terra blockchain stopped block production in May 2022. Block height 7,603,700 was the block height at which time the network was shut down. The chat conversation was called “Terra Rebirth League” and the start of the discussion shows Terra validators asking for opinions from TFL. The chatroom’s active participants add to the chat conversation throughout the chat. In the conversation, Terra co-founder Do Kwon allegedly says: “I think a halt makes sense. And validators can discuss how to restart the network.”
One of the reasons noted for halting the chain was because the network’s native token LUNA was being minted at an exponential rate. Archive.org records show that there was an circulating supply at 359,024,672 of LUNA as of April 16, 2022. That day, there was a total supply of 742,371,433 LUNA with a maximum supply at 1,000,000,000. Archived data from May 12, 2022 shows that the total supply had jumped to 18,511,882,771 LUNA, with a total of 19,407.034,276. Moreover the coingecko.com maximum supply displayed on that date an infinity symbol.
The “Terra Rebirth League” discussion shows that participants are well aware of LUNA being minted into infinity. A participant asks whether all validators were present at the chain-halt discussion. “So we agree to halt the chain?” one individual asks. “[Are] all the validators representatives here?” the person continued. One validator said he already stopped his node and someone scolded him by saying: “This is not how its done. Please restart it.” While more validator representatives were added to the discussion there’s a lot of confusion and arguing happening.
“Can someone tldr me what the advantage of halting the chain is?” a person in the chat room asked. “Hello everyone, what are we doing here?” another individual asked.
Active Network Members and Validators for Confusion Grips Terra
Do Kwon, cofounder of TFL isn’t very active in the conversation. However, he can be seen adding Terra community members to the chat and commenting here and there. A few people expressed concern about the Terra community. “I think halting makes sense,” Do Kwon says at the 11:00 a.m. section of the chat log. At some point, someone says they need to get TFL’s opinion and at 11:05 a.m. an individual said: “TFL is not making any statements rn. They want to minimize all further liability.” In addition, when an individual asked about all validator representatives needing to be present, one person discloses that only the top five validators are needed to halt the chain. One participant wrote:
To stop, we need to have the top five. Rest doesn’t matter really.
A screenshot of Terra blockchain participants scrambling for escape routes was left by this individual. According to one person in the chat log, all the top five validators were present during the “Terra Rebirth League” discussion. People discussed the optimal block height to prevent block production during the chat log. Fatman published an ostensible chat log that shows Do Kwon trying to work out when and if a patch would be available. Kwon wrote:
Is the chain broken?
He asked him the question and found out that the chain hadn’t stopped yet. However, some participants said it was still being used. When asked why the chain was being halted, Kwon ostensibly details that the “cost to attack the network stake is too low.” Kwon is also being asked to merge some code into the Terra codebase at the 11:40 a.m. mark. One individual asks about blockchain snapshots. Moreover, Bitcoin.com News reported on May 31, how the Terra development team recently explained some Terra token holders “received less LUNA from the airdrop than expected.”
A verified TFL Insider claims that Anchor’s core team, which included the Anchor whitepaper creators, left TFL prior to Anchor’s release due to Do’s insistence on imposing a 20% unsustainable interest rate, knowing it could lead to collapse.
— FatMan (@FatManTerra) June 2, 2022
Luna Classic Tokens: Six Trillion, Nine Hundred, Seven Billion and Seven Billion
The new LUNA 2.0 tokens can be swapped today on exchanges. The old coin, now known as luna classic (LUNC), is being called luna. At $0.00009820/unit, LUNC tokens were well under a U.S. dollar at the time this article was written. Although the currency has a market valuation of $794million and global trading volume of $271 million, it is still worth approximately $794 million. Although the circulating supply for LUNC remains unknown, it is estimated that the total supply stands at 6,907.072,876,045. That means since April 16, 2022, LUNC’s total supply expanded 930,306% in roughly 45 days. After the May 12th chain broke, the total supply for LUNC grew to 35.490%.
What do you think about the alleged “Terra Rebirth League” chat log discussion? Comment below and let us know how you feel about the topic.
Images CreditsShutterstock. Pixabay. Wiki Commons
DisclaimerThis article serves informational purposes. This is not an invitation to purchase or sell directly, nor a suggestion or endorsement of products, services or companies. Bitcoin.com is not a provider of investment, tax, legal or accounting advice. This article does not contain any information, products, or advice that can be used to cause or alleged result in any kind of damage.