Failed DeFi Project Issues Second Batch of Tokens

LUNA is back from the dead. Sort of.Claims are now live for Terra’s second airdrop for its new LUNA token four months after the DeFi ecosystem failed and vaporized more than $60B in market capitalization. 

The move is intended to provide a partial reimbursement to wallets holding its native LUNA token or UST stablecoin, both of which became virtually worthless in May.

Claims Go Live

Terra Luna Classic holders who didn’t receive the correct number of LUNA tokens during the project’s first “Phoenix” airdrop on May 28 can claim the secondary drop. Claims went live on Sep. 4 and will expire on Oct. 4. About 19.5M LUNA have been allocated to the airdrop.

Wallets holding less than 10,000 LUNC or aUST prior to UST depegging or any value of LUNC or USTC after its failure will be subject to a two-year vesting schedule with a six month cliff. Terra said the vesting schedule is intended to “avoid liquidity instability.”

Terra airdropped the first tranche of its new LUNA token on May 28 to compensate users holding Luna Classic and the network’s UST stablecoin after the tokens cratered earlier that month.

‘Thank you, Terra’

Despite the airdrop, some UST holders complained about their LUNA distribribution on social media. aUST holders will receive 0.018 LUNA per token held while USTC holders will receive 0.0235 LUNA, worth $0.33 and $0.42 based on current prices.

“Still hilarious that I had $3,500 UST and will never see any of it again!” posted Twitter user Joshcantcode1. “Thank you Terra, for looking out for the community,” they sarcastically added.

The new LUNA token has suffered heavy drawdowns since launching. The token briefly rallied from $5.15 on May 28 to more than $10 on May 31, but crashed down to $2.16 over the following six weeks. 

LUNA last traded hands for $1.81 after bouncing 17% from its all-time low over the past week.

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