Terra Classic (LUNC), the original blockchain post the 2022 UST depeg crisis, continues to evolve through community-driven governance. Recent proposals, particularly those in 2025, signal a robust effort to enhance stability, utility, and adoption, critical for the chain’s long-term viability.
A pivotal proposal, #12186, upgrades the Cosmos SDK to version 50.13, alongside Wasm v0.53.2, as announced by Luncverse and TerraNewsEN. This upgrade, backed by Antier, focuses on improving governance, security, and dApp readiness, addressing critical bugs and ensuring compatibility with legacy contracts. Such enhancements are vital for stabilizing the network, attracting developers, and rebuilding trust post-2022.
Another significant proposal, the Market Module 2.0, aims to reactivate the link between LUNC and USTC. By reintroducing mechanisms to stabilize USTC’s peg, this proposal could restore confidence in the ecosystem’s algorithmic stablecoin, a cornerstone of Terra Classic’s original vision. This move is crucial for increasing chain utility and investor interest.
Proposals #12179 and #12180, passed in May 2025, inject liquidity into Terraswap DEX and the LUNC/USDC pool on Terraport. These measures enhance swap efficiency and trading volumes, fostering ecosystem growth and user adoption. The community’s focus on liquidity underscores its commitment to making Terra Classic a competitive player in DeFi.
Additionally, a whitelisted wallet management system by BLV_Labs, ready for testnet, aims to exempt key addresses from Burn Tax, streamlining operations for CEXs and DAOs. This could boost off-chain burns and chain activity, further reducing LUNC’s supply.
These proposals collectively prioritize stability, decentralization, and economic alignment. By addressing past flaws and enhancing infrastructure, they position Terra Classic for a sustainable future, potentially reigniting broader adoption.