Terra stops the blockchain for the second time in 24 hours

Terra said that with its native LUNA token and stable UST coin in freefall, it stopped its blockchain for the second time in 24 hours.

In a message posted at 10:13 p.m. ET, Terra said its blockchain “has officially stopped at block 7607789.”

“Terra Validators have halted the network to develop a plan to rebuild it. There will be other updates.”

Blockchain was first suspended on May 12 because of concerns that it had become vulnerable to attack. Terra developers then announced at 2:05 p.m. ET that blockchain production had resumed, albeit with the stacking disabled.

Terra’s crisis was triggered when its algorithmic UST stackcoin canceled its peg to the U.S. dollar. It is now around $0.19 according to Binance, despite desperate attempts to restore the peg by issuing huge amounts of LUNA.

Luna’s (LUNA) negotiable offering topped $25 billion on May 12, with coinage reaching unprecedented levels as Terraform Labs CEO Do Kwon and others try to ease pressure from UST sellers. As of the morning of May 13, the number of LUNA tokens had risen to 1.15 trillion, which seems like complete madness.