{"id":61392,"date":"2022-05-13T11:06:59","date_gmt":"2022-05-13T08:06:59","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=61392"},"modified":"2025-09-05T11:54:22","modified_gmt":"2025-09-05T08:54:22","slug":"terra-validators-restart-network-after-second-outage-in-24-hours","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/terra-validators-restart-network-after-second-outage-in-24-hours\/","title":{"rendered":"Terra validators restart network after second outage in 24 hours"},"content":{"rendered":"<p>Against the backdrop of the collapse of the native token LUNA and the algorithmic stablecoin UST, Terra validators halted the network for the second time in a day. They attributed the move to the need to devise a &#8216;recovery plan&#8217; for the network.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">The Terra blockchain has officially halted at block 7607789.<\/p>\n<p>Terra Validators have halted the network to come up with a plan to reconstitute it. <\/p>\n<p>More updates to come.<\/p>\n<p>\u2014 Terra (UST) \ud83c\udf0d Powered by LUNA \ud83c\udf15 (@terra_money) <a href=\"https:\/\/twitter.com\/terra_money\/status\/1524935730308456448?ref_src=twsrc%5Etfw\">May 13, 2022<\/a><\/p><\/blockquote>\n<p> <script async=\"\" src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<div class=\"wp-block-text-wrappers-update-2 article_update\"><time class=\"gtb_text-wrappers_update_time\">13 May 2022 | 15:59<\/time><span class=\"gtb_text-wrappers_update_head\">Update: <\/span><\/p>\n<p>Terraform Labs announced that validators decided to resume the network\u2019s operation. The network is up, but on-chain swaps are disabled, and IBC channels are closed. Users were invited to move wrapped assets such as bETH to native platforms.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">The Terra blockchain has resumed block production.<\/p>\n<p>Validators have decided to disable on-chain swaps, and IBC channels are now closed.<\/p>\n<p>Users are encouraged to bridge off-chain assets, such as bETH, to their native chains. <\/p>\n<p>Note: Wormhole bridge is currently unavailable.<\/p>\n<p>\u2014 Terra (UST) \ud83c\udf0d Powered by LUNA \ud83c\udf15 (@terra_money) <a href=\"https:\/\/twitter.com\/terra_money\/status\/1525095111389945857?ref_src=twsrc%5Etfw\">May 13, 2022<\/a><\/p><\/blockquote>\n<p> <script async=\"\" src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div>\n<p>On May 12, validators had already <a href=\"https:\/\/u1f987.com\/en\/news\/terra-blockchain-validators-to-restart-network-after-luna-and-ust-collapse\">stopped<\/a> the network to prevent governance attacks, which became possible due to the dramatic drop in LUNA\u2019s price. They resumed work the same day, disabling the delegation function.<\/p>\n<p>Terraform Labs did not disclose what measures the company intends to take to fix the situation. Previously presented <a href=\"https:\/\/u1f987.com\/en\/news\/terraform-labs-outlines-additional-measures-to-restore-luna-and-ust\">initiatives<\/a> did not save ecosystem assets from almost complete devaluation.<\/p>\n<p>On May 10, UST <a href=\"https:\/\/u1f987.com\/en\/news\/ust-stablecoin-loses-dollar-peg-amid-crypto-market-collapse\">lost parity with the US dollar<\/a> \u2014 the stablecoin has yet to regain its peg. At the time of writing it was trading around $0.13, according to <a href=\"https:\/\/www.coingecko.com\/en\/coins\/terra-usd\">CoinGecko<\/a>.<\/p>\n<p>The LUNA cryptocurrency, used to issue UST, has fallen by nearly 100% over the past seven days. On May 6 the asset traded at over $80 \u2014 at present its price is $0.000059 (Binance).<\/p>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"457\" src=\"https:\/\/u1f987.com\/wp-content\/uploads\/LUNABUSD_2022-05-13_10-03-46-1024x457.png\" alt=\"Terra Validators restarted the network after the second outage in a day\" class=\"wp-image-172965\" srcset=\"https:\/\/u1f987.com\/wp-content\/uploads\/LUNABUSD_2022-05-13_10-03-46-1024w, https:\/\/u1f987.com\/wp-content\/uploads\/LUNABUSD_2022-05-13_10-03-46-300x134.png 300w, https:\/\/u1f987.com\/wp-content\/uploads\/LUNABUSD_2022-05-13_10-03-46-768x343.png 768w, https:\/\/u1f987.com\/wp-content\/uploads\/LUNABUSD_2022-05-13_10-03-46-1536x685.png 1536w, https:\/\/u1f987.com\/wp-content\/uploads\/LUNABUSD_2022-05-13_10-03-46.png 1834w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption>LUNA\/BUSD price chart on Binance. Data: TradingView.<\/figcaption><\/figure>\n<p>One of the measures proposed by the developers involved expanding the base pool of LUNA and increasing the supply of the cryptocurrency. This was supposed to enable a faster withdrawal of the required amount of UST from circulation.<\/p>\n<p>The activation of the proposal led to the circulating supply of LUNA exceeding 6.5 trillion coins. The UST supply is estimated at 11.3 billion, according to <a href=\"https:\/\/terra.smartstake.io\/history\">SmartStake<\/a>.<\/p>\n<p>Amid the decline in Terra&#8217;s native token price, crypto exchanges began winding down operations with the coin. On May 12 Binance <a href=\"https:\/\/u1f987.com\/en\/news\/binance-delists-coin-margined-luna-perpetual-contracts\">delisted<\/a> base-asset-denominated perpetual contracts for LUNA.<\/p>\n<p>On May 13 the platform removed from the spot market almost all trading pairs with LUNA and UST, as well as the BUSD-denominated perpetual contracts for LUNA. The exchange allowed users to sell assets for BUSD.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Binance will remove and cease trading on the following spot trading pairs at 12:50am UTC, May 13:<br \/>\ud83d\udd38BTC\/UST<br \/>\ud83d\udd38LUNA\/UST <br \/>\ud83d\udd38ETH\/UST<br \/>\ud83d\udd38BNB\/UST<br \/>\ud83d\udd38UST\/USDT<\/p>\n<p>Binance will remove and cease trading on the BUSD-Margined Perpetual Contract: LUNA\/BUSD trading pair at 1:30am UTC, May 13.<\/p>\n<p>\u2014 Binance (@binance) <a href=\"https:\/\/twitter.com\/binance\/status\/1524934519685455873?ref_src=twsrc%5Etfw\">May 13, 2022<\/a><\/p><\/blockquote>\n<p> <script async=\"\" src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Following the exchange&#8217;s decision, there was a large inflow of LUNA to Korean exchanges.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">More than 2 billion <a href=\"https:\/\/twitter.com\/hashtag\/LUNA?src=hash&#038;ref_src=twsrc%5Etfw\">#LUNA<\/a> flowed into Korean exchanges after Binance decided to delist LUNA<a href=\"https:\/\/t.co\/B5aaaAcP1K\">https:\/\/t.co\/B5aaaAcP1K<\/a><\/p>\n<p>\u2014 8BTCnews (@btcinchina) <a href=\"https:\/\/twitter.com\/btcinchina\/status\/1525016538083840000?ref_src=twsrc%5Etfw\">May 13, 2022<\/a><\/p><\/blockquote>\n<p> <script async=\"\" src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Huge volatility in LUNA led to price display problems on Chainlink\u2019s decentralized oracle network, used by many DeFi projects.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Official team statement on the Chainlink LUNA\/USD Price Feeds situation <a href=\"https:\/\/t.co\/EjA5naYalu\">pic.twitter.com\/EjA5naYalu<\/a><\/p>\n<p>\u2014 ChainLinkGod.eth (@ChainLinkGod) <a href=\"https:\/\/twitter.com\/ChainLinkGod\/status\/1524945117471047680?ref_src=twsrc%5Etfw\">May 13, 2022<\/a><\/p><\/blockquote>\n<p> <script async=\"\" src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>The lending protocol Venus Protocol reported a loss of $13.5m. Chainlink oracle settings do not permit displaying LUNA price below $0.1 (the actual value at the time was around $0.01). Attackers exploited this \u2014 they deposited millions of tokens on the platform and used them as collateral.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Venus on <a href=\"https:\/\/twitter.com\/hashtag\/BSC?src=hash&#038;ref_src=twsrc%5Etfw\">#BSC<\/a> was exploited for $13.5m today because whoever set that min-price limit probably assumed <a href=\"https:\/\/twitter.com\/search?q=%24LUNA&#038;src=ctag&#038;ref_src=twsrc%5Etfw\">$LUNA<\/a> would never collapse so hard. <\/p>\n<p>This is wild! <a href=\"https:\/\/twitter.com\/hashtag\/chainlink?src=hash&#038;ref_src=twsrc%5Etfw\">#chainlink<\/a> <a href=\"https:\/\/twitter.com\/search?q=%24LINK&#038;src=ctag&#038;ref_src=twsrc%5Etfw\">$LINK<\/a> <a href=\"https:\/\/t.co\/6DwXnw2ilY\">https:\/\/t.co\/6DwXnw2ilY<\/a> <a href=\"https:\/\/t.co\/j3mC9hPJJ4\">pic.twitter.com\/j3mC9hPJJ4<\/a><\/p>\n<p>\u2014 DefiMoon \ud83e\udd87\ud83d\udd0a (@DefiMoon) <a href=\"https:\/\/twitter.com\/DefiMoon\/status\/1524896344414081040?ref_src=twsrc%5Etfw\">May 12, 2022<\/a><\/p><\/blockquote>\n<p> <script async=\"\" src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>The same exploit was also reported by Blizz Finance on the Avalanche blockchain. It is not known what damage was inflicted on the project.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">We have built on the AVAX ecosystem in good faith with the expectation that <a href=\"https:\/\/twitter.com\/chainlink?ref_src=twsrc%5Etfw\">@chainlink<\/a> oracles would behave as expected. Sorry to those affected.<\/p>\n<p>\u2014 Blizz Finance (@BlizzFinance) <a href=\"https:\/\/twitter.com\/BlizzFinance\/status\/1524912507789377549?ref_src=twsrc%5Etfw\">May 13, 2022<\/a><\/p><\/blockquote>\n<p> <script async=\"\" src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>As CoinDesk reported, Do Kwon was one of the anonymous co-founders of the <a href=\"https:\/\/u1f987.com\/en\/news\/media-terraform-labs-chief-behind-failed-basis-cash-stablecoin-project\">collapsed algorithmic stablecoin<\/a> Basis Cash.<\/p>\n<p>Read ForkLog&#8217;s bitcoin news in our <a href=\"\/\/telegram.me\/forklog\" target=\"\u201c_blank\u201d\" rel=\"\u201cnofollow\u201d noopener\">Telegram<\/a> \u2014 cryptocurrency news, prices and analysis.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Against the backdrop of the collapse of the native token LUNA and the algorithmic stablecoin UST, Terra validators halted the network for the second time in a day. They attributed the move to the need to devise a &#8216;recovery plan&#8217; for the network.<\/p>\n","protected":false},"author":1,"featured_media":61393,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[852],"class_list":["post-61392","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-terra"],"aioseo_notices":[],"amp_enabled":true,"views":"35","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/61392","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=61392"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/61392\/revisions"}],"predecessor-version":[{"id":61394,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/61392\/revisions\/61394"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/61393"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=61392"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=61392"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=61392"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}