Emma Nelson 
Terra Luna Classic Faces Controversy as Validator Opposes Governance Proposal
A significant governance dispute has emerged within the Terra Luna Classic (LUNC) community, with a leading validator, MrDiamondhandz, strongly opposing a proposed change to the network’s governance structure. The proposal, which aims to create a Terra Classic Sub-DAO, has sparked heated debate, with some viewing it as a step toward efficiency, while others fear it could undermine decentralization.
LUNC
Terra Classic Proposal: Sub-DAO for Emergency Decision-Making
The controversial proposal under discussion seeks to establish a Sub-DAO within the LUNC ecosystem. The core idea behind the proposal is to decentralize governance further by creating a specialized team responsible for handling emergency situations without requiring full community approval before taking action. Proponents argue that this structure would streamline decision-making processes, allowing for faster responses to critical network issues.
However, not everyone in the LUNC community supports the idea. Critics claim that granting authority to a select group to make emergency decisions without full governance oversight could lead to unchecked power and decision-making that does not reflect the broader interests of the community. Many fear that bypassing traditional governance mechanisms contradicts the fundamental principles of decentralization that Terra Luna Classic stands for.
Community Response and Voting Status
As expected, the proposal has generated polarizing opinions within the community. Some members see it as a necessary step toward efficiency and rapid governance actions, while others view it as a move toward centralization that could compromise transparency.
As of the latest vote tally:
- 39.41% of voters have approved the proposal, signaling significant support.
- 7.95% have opposed it, showing resistance from a portion of the community.
- 25.47% have voted ‘No with Veto’, a strong stance against its implementation.
- Overall voter turnout stands at 28.95%, falling short of the required 40% quorum needed for the proposal to pass.
With the voting window still open, it remains uncertain whether the proposal will gain enough support to be enacted.
MrDiamondhandz Takes a Stand Against the Proposal
One of the most outspoken critics of the proposal, MrDiamondhandz, who operates LuncLiveOrg, has strongly opposed the Sub-DAO initiative. In a recent X (formerly Twitter) post, he referred to the governance proposal as one of the worst in recent times, warning that its approval could damage the integrity of the LUNC network.
He further criticized the initiative as a disguised attempt to introduce centralized governance under the pretense of decentralization. According to MrDiamondhandz, giving a small group of individuals control over urgent network decisions without community approval could set a dangerous precedent for how LUNC governance evolves in the future.
Tensions Rise as Some Threaten to Leave the Blockchain
The division in the community has intensified following revelations that some supporters of the proposal have threatened to leave if it fails. A Telegram group chat screenshot circulating online showed LUNC community members discussing their potential departure, further highlighting the divisive nature of the proposal.
In response, MrDiamondhandz dismissed these concerns, arguing that the network would be better off without individuals who are willing to leave over a single governance proposal. He emphasized that LUNC’s long-term success depends on maintaining decentralization, not on satisfying a specific group of stakeholders.
LUNC’s Recent Achievements and Market Stability
Despite the internal controversy, the Terra Luna Classic community has celebrated a major milestone—the total number of LUNC tokens burned has surpassed 400 billion. This achievement is viewed as a significant step toward reducing supply, potentially boosting the asset’s long-term value.
On the market front, LUNC’s price has remained stable, showing no significant fluctuations despite the ongoing governance debate. As of the latest market data:
- Terra Classic is trading at $0.00006361, reflecting a 1.11% increase in the last 24 hours.
- Investors are closely monitoring the governance outcome, as a major change in governance structure could impact sentiment and influence price movements.
Future Implications for Terra Luna Classic
As the LUNC community awaits the final vote on the Sub-DAO proposal, broader discussions about the future of governance within Terra Luna Classic continue. The outcome of this proposal could set a precedent for how governance issues are handled moving forward.
In a related development, CoinGape recently reported that the LUNC community is considering a proposal to reduce the 21-day waiting period for unstaking LUNC, which could increase network flexibility and liquidity for stakers.
Whether Terra Luna Classic moves toward a more centralized decision-making structure or maintains its current governance model will largely depend on how the community navigates this ongoing controversy. The coming days will be crucial in shaping the future of LUNC governance.
