Terra Luna Classic Halts USTC Minting, Sparks Price Surge in LUNC by 18% and LUNA by 33%

Terra Luna Classic Halts USTC Minting, Sparks Price Surge in LUNC by 18% and LUNA by 33%

April 29, 2024

Blockchain

3 min

In a groundbreaking development that has electrified the cryptocurrency sector, the Terra Luna Classic community has collectively decided to cease the minting of USTC, leading to an impressive surge in the prices of LUNC and LUNA by 18% and 33%, respectively. This strategic maneuver, encapsulated in Proposal 11868, aimed at halting USTC minting by implementing a Tobin tax at a staggering rate of 100%. The aftermath of this pivotal decision has not only demonstrated the community's solidarity and determination but has also ignited a notable rally in Terra ecosystem tokens. This marks a significant milestone in the recovery efforts of the chain. As the community and developers unite to reestablish USTC's peg, this initiative is heralded as a critical step forward in rejuvenating the Terra Luna Classic chain and its associated tokens, heralding a new era for the once-troubled ecosystem.

Proposal 11868, titled "Fulfill prop #11784 by disabling USTC minting via raising Tobin tax to 100%," was overwhelmingly passed by the Terra Luna Classic Community to put an end to the minting and re-minting of USTC. The proposal stated, "The only minting of USTC currently happening on chain is through the market module, which allows burning a coin to mint another." Following the catastrophic Terra-LUNA debacle in 2022, this mechanism was deactivated, effectively barring swapping from and to LUNC via the market module. This move essentially halts all market swapping and coin minting activities on Terra Classic, rendering users unable to exchange between USTC and other stablecoins and preventing USTC burn through swaps.

It's important to note that this decision does not affect coin swapping via decentralized exchanges (DEXes) like Terraswap, where trading for existing pairs remains possible.

The proposal garnered an astounding 98.95% approval rate, with leading validators casting their votes in favor. Out of the 55 validators who participated, 50 voted "Yes." Validators such as Allnodes, Interstellar Lounge, HappyCattyCrypto, Interstake One, JESUSisLORD, among others, have endorsed the proposal, marking the first instance in months where a proposal received unanimous support from validators.

Terra Ecosystem Tokens Experience a Rally

In the wake of these developments, LUNC has witnessed a 2.73% increase over the last 24 hours, now trading at $0.00008396. The token's trading volume has surged by 300% during the same period, indicating heightened trader interest.

USTC has also seen a notable uptick, currently trading at $0.01547, marking a 12% increase in the last 24 hours. Its trading volume has similarly seen a significant rise.

Meanwhile, LUNA's price has escalated by 13.93% in the last 24 hours, now trading at $0.8146. However, its trading volume has decreased by 62%, reversing the previous trend of a more than 300% increase.

Disclaimer

The information provided herein does not constitute trading advice. Bitcoinworld.co.in assumes no responsibility for any investments made based on the information provided on this page. We strongly advise conducting independent research and/or consulting with a qualified professional before making any investment decisions.

This strategic pivot by the Terra Luna Classic community to disable USTC minting and the subsequent price surges in LUNC and LUNA underscore a significant moment in the cryptocurrency landscape. As the community and developers rally together to stabilize and revitalize the Terra Luna Classic ecosystem, this move is poised to set a new trajectory for the beleaguered chain, potentially restoring faith and value in its native tokens.

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In a groundbreaking development that has electrified the cryptocurrency sector, the Terra Luna Classic community has collectively decided to cease the minting of USTC, leading to an impressive surge in the prices of LUNC and LUNA by 18% and 33%, respectively. This strategic maneuver, encapsulated in Proposal 11868, aimed at halting USTC minting by implementing a Tobin tax at a staggering rate of 100%. The aftermath of this pivotal decision has not only demonstrated the community's solidarity and determination but has also ignited a notable rally in Terra ecosystem tokens. This marks a significant milestone in the recovery efforts of the chain. As the community and developers unite to reestablish USTC's peg, this initiative is heralded as a critical step forward in rejuvenating the Terra Luna Classic chain and its associated tokens, heralding a new era for the once-troubled ecosystem.

Proposal 11868, titled "Fulfill prop #11784 by disabling USTC minting via raising Tobin tax to 100%," was overwhelmingly passed by the Terra Luna Classic Community to put an end to the minting and re-minting of USTC. The proposal stated, "The only minting of USTC currently happening on chain is through the market module, which allows burning a coin to mint another." Following the catastrophic Terra-LUNA debacle in 2022, this mechanism was deactivated, effectively barring swapping from and to LUNC via the market module. This move essentially halts all market swapping and coin minting activities on Terra Classic, rendering users unable to exchange between USTC and other stablecoins and preventing USTC burn through swaps.

It's important to note that this decision does not affect coin swapping via decentralized exchanges (DEXes) like Terraswap, where trading for existing pairs remains possible.

The proposal garnered an astounding 98.95% approval rate, with leading validators casting their votes in favor. Out of the 55 validators who participated, 50 voted "Yes." Validators such as Allnodes, Interstellar Lounge, HappyCattyCrypto, Interstake One, JESUSisLORD, among others, have endorsed the proposal, marking the first instance in months where a proposal received unanimous support from validators.

Terra Ecosystem Tokens Experience a Rally

In the wake of these developments, LUNC has witnessed a 2.73% increase over the last 24 hours, now trading at $0.00008396. The token's trading volume has surged by 300% during the same period, indicating heightened trader interest.

USTC has also seen a notable uptick, currently trading at $0.01547, marking a 12% increase in the last 24 hours. Its trading volume has similarly seen a significant rise.

Meanwhile, LUNA's price has escalated by 13.93% in the last 24 hours, now trading at $0.8146. However, its trading volume has decreased by 62%, reversing the previous trend of a more than 300% increase.

Disclaimer

The information provided herein does not constitute trading advice. Bitcoinworld.co.in assumes no responsibility for any investments made based on the information provided on this page. We strongly advise conducting independent research and/or consulting with a qualified professional before making any investment decisions.

This strategic pivot by the Terra Luna Classic community to disable USTC minting and the subsequent price surges in LUNC and LUNA underscore a significant moment in the cryptocurrency landscape. As the community and developers rally together to stabilize and revitalize the Terra Luna Classic ecosystem, this move is poised to set a new trajectory for the beleaguered chain, potentially restoring faith and value in its native tokens.

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