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The Terra community on Monday released a new proposal on how the relaunched blockchain should deploy LUNA tokens to its vast developer pool.
The proposal, called the “Proposed distribution method for 0.5% emergency LUNA allocation,” is intended to act as as supplement to the Terra Ecosystem Revival Plan.
The revival plan designated a 10% LUNA supply to incentivize developers on Terra 2.0, of which 0.5% was an emergency fund to help project parties build products after the network launch.
Monday’s proposal suggests that three groups are eligible for the 5 million in LUNA emergency allocation, these include:
- projects on Terra Classic which achieved product-market fit and TVL (2.5 Million LUNA)
- projects on Terra Classic which achieved product-market fit, but without measurable TVL (1 Million LUNA)
- pre- and post-launch projects which have not reached produce-market fit (1.5 Million LUNA)
Terra Community Announces Proposal for 0.5% Emergency Allocation
The proposal is made on behalf of Terra community members including representatives, validators, Terraform Labs, and others seeking a distribution method for the emergency fund. Terra plans to distribute 10% of LUNA supply as 0.5% for emergency allocation, 1.5% for the Developer alignment program, and 8% for the Developer mining program.