December 2, 2023


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Community Vote on Key Proposal to Restore Binance LUNC Burn for Terra Luna Classic

2 min read

In February, the Terra Luna Classic community was focused on reinstating the Binance LUNC burn mechanism.

A key proposal, 11367 “Upgrade v1.1.0,” was submitted by Terra Classic core developer Edward Kim on behalf of the Joint L1 Task Force developer group, and is the only proposal that would bring back Binance LUNC burn. The proposal includes a tax exemption list, burn tax split, no-reminting of the burn wallet, and mandatory security updates, among other governance-approved features.

This proposal follows the passing of  three other key proposals that are also aimed at improving the Terra Classic blockchain.

Proposal 11358, which aims to exempt the burn tax from internal movement between Binance-owned wallets, passed with nearly 95% of votes in favor.

Proposal 11359 passed in majority with 99.78% of votes in favor and aims to prevent the re-minting of LUNC from burn contributed by Binance.

Lastly, Proposal 11360 received almost 95% of votes in favor and seeks to create a new parameter that directly sends a percentage of the on-chain tax to the community pool.

Binance had requested the Terra Classic developer team to make the necessary changes  before March 1 to continue its LUNC burn mechanism. Failure to do so would result in the exchange considering withdrawing the burn contribution and only burning 50% of the LUNC spot and margin trading fees.

The blockchain upgrade must be live before March 1 to avoid any further delays in Binance’s LUNC proposal.

Also Read: New Date Set for Ethereum’s Shapella Upgrade Allowing for ETH Unstaking

Declining Burn Rate Results in Price Drop for Terra Luna Classic

Over the past 24 hours, the value of Terra Luna Classic has dropped by over 4%, with LUNC currently trading at $0.0001608. The 24-hour low and high were recorded at $0.0001593 and $0.0001679, respectively.

In addition, there has been a 5% decrease in trading volume over the same period, suggesting a lack of interest in the cryptocurrency.