Terra Classic Developer Designs A New Proposal That Will Burn LUNC Worth $2 Million


The Terra community has been popularly known for its indefatigable act of reducing the LUNC token, aside from the former designs brought up by various developers, A Terra classic core developer, Alex ForShaw designed a new proposal as a means of removing LUNC worth $2 million from the circulation.

A New Proposal To Burn LUNC Worth $2 Million

Alex ForShaw made this known in a medium post shared yesterday while giving an update on the multi-sig wallet holding about $4 million in off-chain assets.

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Alex ForShaw ad a few others who have given themselves to giving the community signals on the wallet and funds management passes a proposal that will allow the community to convert the assets to Terra Luna Classic and send it to the burn address.

As a legal disclaimer, Forshaw urges that whomever the community saddles with the responsibility be traceable and well-recognized non-US citizens.

Alex Forshaw noted further that this proposal will prevent the community from unnecessary risk and also said that it does nothing to make provision for the community with capital for effective deployment.

The developer clarified, saying that $2 million worth of LUNC is minted and sent to an on-chain multi-sig address for payment of professional developers.

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Alex ForShaw noted that the plan to burn four million worth of Terra classic and mint a new LUNC worth $2 million will result in the total burn of LUNC worth $2 million while the rest will be for the community for development.

Terra Classic Community’s Reactions

Following this proposal, several community members spoke against it, referring to the May Terra collapse which led to a multi-million loss of funds.

However, while some of the community members saw it as sensible, others like HappyCattyCrypto have asserted that too many legal risks are associated with the assets. The people who accept the responsibility to burn it may still be held liable, said HappyCattyCrypto. 

Furthermore, Duncan Day raised a question, saying that why the community needed to take over ownership of the wallet for the plan to work. Specifically, Duncan wondered why the current holders could not carry out the burn.

It is worth noting that the current proposal remains the talk matter in the Terra Classic community.

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Dr. Olajide Samuel juggles the demands of medical studies with a passion for cryptocurrency. A seasoned blogger, Olajide shares his vast global knowledge of the crypto space, offering insights to enthusiasts. Despite his busy schedule, his commitment to crypto remains strong, and he actively seeks ways to contribute to its future.