Terra Luna Classic (LUNC) finds itself at a crossroads, facing a crucial decision regarding the destiny of 800 million USTC tokens tied to Ozone Protocol. Rather than returning these tokens to the community pool, as proposed by Vegas, the community now leans towards the idea of burning them.
Vegas, a former ex-Terra Rebels developer group member, introduced Proposal 11658, which addresses the issue of unused community funds. The tokens in question are not actively aligned with the proposed development plan, prompting Vegas to suggest their return to the Terra Luna Classic community pool. However, an emerging counter-proposal advocates a different path – burning these tokens instead of returning them.
The fate of these tokens now lies in the hands of the community as they engage in the voting process to determine the most suitable course of action for Terra Luna Classic’s future.
I remain adamant that USTCs should be burned and not sent to the CP.
In favor of proposal 11660 and against proposal 11658#LUNC #LuncArmy #LuncBurn #LUNCCcommunity #TerraClassic #Crypto #LunaClassic #LunaClassicHQ #CryptoNews #cryptotrading #Terra #DEX #DeFi #terraport #USTC… pic.twitter.com/8MkP7r6SbI
— Cryptomane (@cryptomaneitaly) July 31, 2023
Terra Luna Classic (LUNC): The Evolution Of Ozone Protocol
Despite the initial success of Ozone V1 and V2, there arose a concern within the Terra Luna Classic community regarding the full utilization of 1 billion UST (now USTC) as originally intended. The Risk Harbor team, responsible for managing these funds, has not fully leveraged them in alignment with the project’s vision.
As a result, a proposal emerged, titled Proposal 11658, advocating for returning these unused USTC tokens to the community pool. The proposal aims to reallocate the funds and ensure they are put to more effective use that aligns with the community’s objectives.
We have been working with lunanauts, DNC & M Van S to create a counter proposal to burn 100% of the USTC funds should they be released by proposal 11658. It’s currently in the deposit stage please feel have a read & contribute towards deposit if you agree. pic.twitter.com/Pn7nNodB1J
— SolidVote LUNC Validator (@SolidVote) July 31, 2023
The Counter-Proposal: Burning LUNC Tokens
In response to Proposal 11658, a counter-proposal has been put forth. This new Proposal 11660 advocates a different approach altogether – burning 800 million LUNC tokens.
The counter-proposal insists on burning LUNC tokens, regardless of the outcome of Proposal 11658. The proponents argue that a substantial portion of the Terra Luna Classic community actively supports this move, believing that it will address concerns more effectively and lead to a better allocation of resources.
LUNC market cap currently at $515 million. Chart: TradingView.com
LUNC Price Response
The recent developments surrounding the Ozone protocol and the debate over unused funds have notably impacted the price of LUNC tokens. According to CoinGecko’s latest data, the price of LUNC tokens currently stands at $0.0000802
Source: Coingecko
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Over the past week, LUNC’s price has experienced a 1.8% decline. This sustained decrease suggests that the discussions and contrasting proposals surrounding the unused funds have had a more prolonged impact on market sentiment and investor confidence.
Recognizing that many factors often influence market sentiment and price movements is crucial. While the debate over unused funds has undoubtedly shaped LUNC’s price, other market dynamics may also be contributing to these fluctuations.
(This site’s content should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk).
Featured image from The Coin Republic