The Terra Luna Classic community has taken a significant step by approving a proposal to stop minting and reminting USTC, the project’s stablecoin. The main goal of this proposal is to reestablish the value of USTC to $1 and revive the LUNC token.
This decision also creates an opportunity for entities like Binance to burn USTC, as the minting and reminting process has been terminated.
Terra Luna Classic to Halt USTC Minting and Reminting
Terra Luna Classic’s community has given the green light to Proposal 11784, which puts a stop to the minting and reminting of USTC stablecoin. This move aims to stabilize USTC’s value at $1 and address potential issues with its peg, like the conversion of xUST to mint USTC.
The voting results showed 55% in favor of the proposal, 38% against it, and some members abstaining, meeting the required “pass threshold.” A total of 35 validators participated in the vote. Notably, validators like HappyCattyCrypto, DFLunc, 1maxfee, JESUSisLORD, StakeBin, and Lunanauts supported the proposal, while the largest validator Allnodes opposed it.
With this proposal’s success, entities like Binance now have the opportunity to burn USTC tokens, as minting and reminting activities have come to a halt.
In light of these developments, the community plans to reach out to Binance and request the burning of USTC tokens. It’s important to note that trading volumes for these tokens remain relatively low. Additionally, another proposal approved by the community aims to burn 50% of USTC tokens to further strengthen the ecosystem.
However, despite these significant proposals and community-driven updates, both Terra Luna Classic (LUNC) and USTC prices have been on a downward trajectory. Some critics attribute this decline to concerns about the effectiveness of the current developer team in managing the chain, community wallet, and upgrades.
In the past 24 hours, the price of LUNC has seen a slight increase and is currently trading at $0.00005974. During this period, the price fluctuated between $0.0000566 and $0.0000582, with a notable 439% increase in trading volume.
Conversely, the price of USTC has unfortunately decreased over the same 24-hour period and is currently trading at $0.01241.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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