With the cryptocurrency market trading sideways most of last week and showing slight bullish momentum today, one of the trending topics in the Business & Finance section on Twitter is none other than Terra Luna Classic, with the trending hashtag #LUNACLASSIC surpassing 6k Tweets. The LUNC community is hard at work pushing for the burn of LUNC tokens to reduce the overall supply and provide bullish support for the cryptocurrency.
LUNC Burn Efforts Continue
Unlike Terra Luna 2.0, which has the official Terra_Money Twitter account leading all announcements, the Terra Classic community doesn’t yet have an organized official channel to turn to. Instead, several proponents of LUNC are taking the lead in organizing burn events and incentivizing users to support the burn of Terra Classic tokens.
One leader of the Terra Classic community is the LUNC DAO Twitter account, describing itself as a cult launched by two individuals who use their validator yield to burn Terra Classic (LUNC) tokens. Users can stake their tokens on the LUNC DAO validator to accelerate the burn.
In a tweet posted today, LUNC DAO published a transaction showing the burn of 1 million $LUNC tokens (roughly $100 at writing).
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— 🕊️🔥 𝕃𝕌ℕℂ 𝔻𝔸𝕆 🔥🕊️ (@LUNCDAO) July 17, 2022
While the Tweet mentioned burning $1M LUNC tokens, for clarification, it’s 1 million LUNC tokens worth $100, not $1 million worth of LUNC tokens.
All in all, any efforts by the community are appreciated, and it is no surprise that it’s tough to burn substantial amounts of LUNC tokens rather than selling them on an exchange and cashing out the USDT value.
So far, the Terra Classic community has managed to burn over 1.24 billion LUNC tokens so far, according to @BurnUpdates:
— 🔥LUNC burn updates (@BurnUpdates) July 17, 2022
In addition, a governance proposal to initiate a 1.2% burn tax on the Terra Classic network was passed several days ago, which will provide additional support for the burning of LUNC and is the easiest and most efficient option to reduce the supply of LUNC slowly. Currently, the burning tax is implemented on the testnet of Luna Classic, with plans to integrate it into the main chain soon.
— Terra Luna Classic Community (@TerraLunaClassi) July 17, 2022
Terra Classic Market Cap Surpasses Terra Luna 2.0
While the Terra Luna 2.0 ecosystem continues to integrate new projects and rally the support of investors, the market cap for the Terra Classic cryptocurrency is more than triple that of LUNA 2.0. At writing, LUNA boasts a valuation of $228 million, while LUNC has a market cap of $669 million.
While some may argue that LUNC’s market cap is inflated due to the number of tokens in circulation, the trading volume for both cryptocurrencies tells a similar story.
At the time of writing this article, LUNC’s 24-hour trading volume is $115 million, compared to LUNA’s $81 million. Taking a deeper look at each exchange trading volume, Binance is leading with a $15 million combined trading volume for LUNA and a $31 million LUNC/BUSD trading volume for Luna Classic.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any projects.
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