Destructive Support (Recommend: NO)
Reset Governance Concept
The reset governance concept allows both LUNA and UST to burn for a new governance token called xLUNA assuming the UST would repeg and balance the system back
@0xab3d:
Please read the mechanics section of our proposal to see that sentiment for Terra is very low. This means no matter how many tokens are burned the UST would never repeg.
The only way to repeg is by reducing UST debt obligations in a fair way and boot out the TFL and SBA shareholders that want to savage the remaining value to rebuild a new network and ditching their debt responsibilities. All LUNAv1 and USTv1 holders are technically the new master shareholders and Do Kwon and gang are simply pushed out and need to start from scratch.
We have proposed to add tax to fund the system. As the execution team does a good job restoring trust and increase utility, the taxes will naturally collect all the funds we need to get out of this mess.
A lot of people just say burn the LUNA but they have created no demand for it, and on the exchanges LUNAs and USTs barely trigger any tax because the tokens just sit in the CEX’s wallet until withdraw. How much tax are all these campaigns generating? Zero. That is why we focus so heavily on saving the enterprise first with all the pieces together to save the ecosystem.