Upon Reopening The IBC, Terra Classic And Osmosis Transacted Over $111k in 24 Hours

According to a tweet from community influencer Classy (@ClassyCrypto_), members of the Terra Classic community have already traded over $111k over the Inter Blockchain Communication channel between the Terra Classic network and Osmosis on the first day of reopening.

1 Day after $LUNC IBC reopening with $OSMO we've transacted $111,689 between chains! pic.twitter.com/S4Hztfle19
— Classy 🔮 (@ClassyCrypto_) December 14, 2022

It is presently unknown whether this solely refers to trapped liquidity coming from Osmosis back into the Terra Classic chain or if members of the Terra Classic community are also actively using the famous Cosmos decentralized exchange to trade tokens and initiate several transactions on other chains.

According to earlier reports, the Terra ecosystem collapse in May rendered a large amount of the trapped Terra Luna Classic (LUNC), and TerraClassicUSD (USTC) tokens inaccessible. Osmosis held these tokens. At the time, Terraform Labs blocked the IBC channels connecting the chain to the popular DEX to stop temporary losses.

Cosmos Capybara (@CosmosCapybara) noted in a recent proposal to seek Osmosis support for off-chain LUNC burns. Osmosis formerly functioned as the main source of liquidity off-chain for the Terra Classic network. In contrast to Osmosis, which offered substantial liquidity for token swaps and advanced yield farming techniques, the Terra Classic community supplied an unending stream of fees.

Developers successfully reopened IBC channels to Osmosis on December 13, as reported by fxcryptonews. Considering the evolving Cosmos ecosystem, developers accelerated the timeline to keep up with the reopening earlier than planned.

“Great start!” CEO_44 tweeted. “Opening up LUNC IBC channels is like opening up a major airport or highway to a large city. The city’s economy can now grow faster.”
While remarking on the transaction volume, well-known Terra Classic community member CEO 44 (@CEO 44) called it a “great start.”

Olasunkanmi Abudu

Olasunkanmi Abudu is a Web3 content writer with over five years of experience covering blockchain, decentralized finance, and digital assets. He specializes in producing well-researched and accessible content that explains complex technologies and market trends to both general readers and industry professionals.

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