Terra Luna Classic community will destroy 800 million USTC tokens meant for Ozone Protocol instead of putting them back into the community pool.
The Terra Luna Classic community prefers burning 800 million USTC tokens associated with Ozone Protocol rather than returning them to the community pool.
In response to a proposal by prominent member Vegas to return the 800 million USTC tokens to the community pool, validators and some members have introduced a counter-proposal.
Terra Luna Classic Proposes Burning 800 Million USTC Tokens
Proposal 11658, titled “Return of Community Funds Not Used,” presented by ex-Terra Rebels developer group member Vegas, is currently up for voting. The proposal highlights the presence of 800 million idle USTC tokens associated with the Ozone Protocol. It aims to return these tokens to the Terra Luna Classic community pool since the project has not been actively following the proposed development plan.
Initially, Terra co-founder Do Kwon proposed the Ozone protocol and funded it using community pool funds. Although Ozone V1 and Ozone V2 saw high demand for their underwriting capacity, the Risk Harbor team has not fully utilized the intended 1 billion UST (now USTC) funds. Thus, returning the funds to the community pool is suggested.
However, a counter-proposal, labeled Proposal 11660 and supported by DNC, M Van S, Lunanauts, and SolidVote Validator, aims to burn 800 million LUNC tokens, even if Proposal 11658 passes. The new proposal claims that a significant portion of the community is requesting the funds to be burned.
The counter-proposal acknowledges the lack of discussion on the Commonwealth platform for the recommended seven days, citing the simplicity of the proposal and the urgency of the situation. It is presented as a necessary response to Proposal 11658 before a flurry of spend proposals emerges.
Top validators are showing a favorable inclination towards the counter-proposal, which entails burning 800 million USTC tokens from a wallet linked to the Ozone Protocol. This move is expected to provide a much-needed push to USTC repeg and LUNC developments, as both USTC and LUNC prices have failed to gain strong upside momentum.
LUNC and USTC Await Potential Breakouts
LUNC’s price has experienced a decline of over 1% in the past 24 hours, currently trading at $0.000080. The coin’s price fluctuations have seen a 24-hour low and high at $0.0000800 and $0.0000820, respectively. However, there is potential for a recovery above the $0.00009 support level, attributed to the formation of a triangle pattern.
On the other hand, USTC’s price is currently at $0.015, indicating a 2% decrease in the past 24 hours. This decline comes after a recent 50% rally, which was triggered by USTC repeg announcements. In the last few days, trading volumes have diminished as traders shifted their focus back to LUNC.
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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