Altcoin

Terra Luna Classic To Burn 1 Billion USTC & 275 Billion LUNC?

Published

1 week ago

September 9, 2024

Terra Luna Classic community awaits massive USTC and LUNC burn by Terraform Labs (TFL) as per the Chapter 11 bankruptcy and court order in the U.S. SEC case. While the actual amount of Terra ecosystem tokens to be burned remains uncertain, Terra Classic members claim it’s over 1 billion USTC and 275 billion LUNC tokens.

Terra Luna Classic Community Prepares For USTC & LUNC Burn

Terra Luna Classic validator HappyCattyCrypto in an X post on September 9 opened up about his research into the amount of tokens burn expected from TFL. According to him, over 1 billion USTC and 275 billion LUNC tokens could burn as a result of Chapter 11 bankruptcy proceedings.

Notably, over 2.58 billion LUNC have been claimed from the shuttle bridge reopened by TFL, as per Terra Finder transactions data.

In addition, the validator urged the community to migrate Mirror Protocol and Anchor Protocol contracts to new code via governance similar to Risk Harbor. The funds associated with Mirror Protocol and Anchor Protocol are Columbus-5 native assets USTC and LUNC.

All Terra Luna Classic assets as stated by Chris Amani and ordered by the court judgment should be burned. TFL will not interact with Columbus-5 or Phoenix-1 chains after October 31. Any token burn or transfer will be difficult post the court-approved date.

“As TFL begins winding down its operations, Proposal 4818 will be the final chain upgrade that we implement. Pursuant to TFL’s settlement with the SEC and implementation of its proposed chapter 11 plan, TFL will no longer have the ability to support future chain upgrades,” as per Terra Money.

Total LUNC burn from Mirror Protocol would be 480,404,166, as per a Commonwealth post. Also, a total of 46,556,271 USTC can be burned from Mirror Protocol and 729,976,293 USTC from Anchor Protocol.

LUNC and USTC Prices Performance

Terra Luna Classic ecosystem tokens LUNC and USTC are rebounding from lows amid a slight positive sentiment in the crypto community. The upside momentum also came after Genuine Labs revealed that it will soon proceed with Tax2Gas upgrade on the chain after a few tests.

LUNC price climbed 5% from the 24-hour low, with the price currently trading at $0.00007537. The 24-hour low and high are $0.00007543 and $0.00007906, respectively. The trading volume has also increased by 27% in the last 24 hours.

Meanwhile, USTC price is trading at $0.01593, up 10% in a week. The 24-hour low and high are 0.01532 and 0.01593, respectively. However, trading volume saw an 8% drop in the last 24 hours.