So, while the Luna 2.0 airdrop and launch went by without a stablecoin to go with the new chain, could a UST 2.0 still be in the works?
Is There A UST 2.0 Stablecoin?
As of June 2022, there is no new TerraUSD or UST 2.0 stablecoin officially announced or released, but we have heard rumours about the stablecoin.
According to FatManTerra, a Twitter account dedicated to covering the Terra collapse, a second stablecoin is reportedly being designed.
FatMan said, citing an undisclosed insider, that design plans are being drafted for a “new decentralised stablecoin that will be built atop Terra 2”.
We know little else about this alleged stablecoin plan. However, it does remain possible that the insider is wrong, or providing inaccurate information. At the time of publication, there remains no official TerraForm Labs plan for a new UST.
Many Luna holders reacted negatively to this rumour due to UST’s role in the Luna crash. Although some offered a slightly different angle. “If fully/overly collateralised, sure, why not?” replied one user. UST is an algo-stablecoin, meaning it is not backed by reserves, as other stablecoins like Tether claim to be.
Of course, the Terra ecosystem does still have a stablecoin, in one sense, with TerraClassicUSD (UST).
The old Terra chain still remains in place, with Luna Classic as the token left behind, alongside TerraClassicUSD.
The initial Luna recovery plan actually focused on saving and repegging UST to $1. This was quickly abandoned in favour of prioritising Luna and the ecosystem.
UST remains massively de-pegged. It is now down 96%, with a price of $0.03.