The recent analysis revealed that the Terra Classic (LUNC) community has finally crossed the 50 billion token burn threshold. Though this amount represents only a fraction of Terra Classic’s supply, it underscores the community’s efforts toward rejuvenating the asset.
Notably, As of last Wednesday, total burns sat at 49.7 billion tokens; this means the community has incinerated 410 million tokens in the past week.
Total LUNC burns Hit the 50 billion threshold
Binance has remained the leading platform among the LUNC burners with over 28.95 billion tokens, about 57% of the total incinerated 50.11 billion. The recent burns of the exchange claimed a total of 8.8 billion LUNC in a single transaction earlier this month.
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Centralized exchange MEXC comes fourth on the list, with 1.017 billion tokens burned so far. Validator LUNC DAO has burnt 450 million, securing fifth position, while Allnodes is sixth with 344 million tokens. Cremation Coin, a newly-launched project, is seventh, incinerating 265 million LUNC.
Although the LUNC burns have sent a multi-billion LUNC into the dead wallet, the community still bemoaned the low rate of burns, noting that the current burn rate will barely make a dent in the asset’s extensive supply.
Data from TerRarity suggests that the total tokens burnt to represent 0.729% of the asset’s total supply of 6.8 trillion LUNC. The burn rate currently sits at 198.1 million LUNC a day. At this rate, about 401 billion Terra Classic will be burned in the next five years, representing 5.837% of the total supply.
Terra Classic Intends To Raise Burns Parameter From 0.2% To 0.8%
Some days back, a proposal which intended to increase the burns parameter from 0.2% to 0.8% was introduced but the community outrightly rejected the idea.
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One of the prominent TerraCVita members, Rex Harrison noted that the rejection sends the message that the community prioritizes utility over burns, as an increase in tax burn could impact the trade volume of projects on the network.
Rex further noted the importance of utility and staking in supporting Terra Classic’s resurgence, shifting the attention from burns some months ago, saying that staking and utility are the best platform to spike by 100X. As of press time, LUNC is trading for $0.0001275, flat in the past 24 hours.