Discussion Proposal: Terra Classic Revenue & Utility Accelerator (Bridge-to-Usage)

Summary

This is a discussion proposal, not yet an on-chain spend request.

Terra Classic now has Hyperlane routes to Ethereum, BNB Smart Chain and Solana. That infrastructure can be useful, but infrastructure alone does not create lasting demand for LUNC. The purpose of this programme is to fund only measurable adoption: live integrations, matched liquidity, qualified users, fee revenue and transparent reporting.

This proposal makes no price promise.

Proposed programme

Create a 180-day Terra Classic Revenue & Utility Accelerator with a maximum envelope of 600,000,000 LUNC, released only against independently verifiable milestones.

Workstream Maximum allocation Release condition
Security verification and public dashboard 60M LUNC Contracts, governance ownership, reporting methodology and security review published
Production integrations 140M LUNC Paid only after a live product integration is independently verified
Community-owned cross-chain liquidity 200M LUNC At least 1:1 matched external liquidity; LP position locked for 12 months
Qualified-use incentives 100M LUNC Rewards based on verified use; self-trading and circular volume excluded
Performance reserve 100M LUNC Separate governance approval after final milestone review

All unspent or unearned funds remain in the Community Pool.

180-day success criteria

No further release after the initial verification phase unless the dashboard demonstrates:

  • At least three live integrations using LUNC or USTC through the supported cross-chain routes;
  • At least 1,000 qualified unique active wallets, with transparent anti-sybil methodology;
  • At least USD 1 million in qualified volume, excluding self-trades, circular transfers and incentive-only wash activity;
  • External liquidity matched at no less than 1:1 with Community Pool liquidity; and
  • Public reporting of wallet activity, volume, TVL, fees, treasury movements and LUNC burned from programme revenues.

Revenue and value-capture principle

Any product funded by this programme must publish a non-inflationary fee model before receiving funds. Subject to a separate technical, legal and on-chain governance review, the target allocation of net programme revenue would be:

  • 50%: market purchase and permanent burn of LUNC;
  • 30%: security, relayers, validators and maintenance; and
  • 20%: return to the Community Pool.

No new LUNC should be minted for the programme, and no payment should be made in advance for undeployed work.

Governance and transparency safeguards

  • Every recipient, wallet and milestone must be public before payment.
  • Programme funds must remain under governance-controlled custody.
  • An independent technical reviewer must validate each milestone.
  • No open-ended marketing allocation.
  • No rewards for unverifiable volume.
  • If the 90-day review fails its agreed milestones, all remaining allocations automatically return to the Community Pool.

Why discuss this now?

The community has already funded connectivity and technical infrastructure. The next step should be disciplined execution: convert infrastructure into use, use into fees, and fees into a transparent benefit for the chain.

I invite technical contributors, validators, liquidity providers and community members to challenge the budget, targets, anti-wash methodology and revenue model. Following discussion, a revised and fully specified on-chain proposal could be submitted.

Reference

Hyperlane delivery and governance-ownership report: Hyperlane on Terra Classic — Delivery Report & Payment Proposal