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The Terra Luna crash was an unforgettable event in the crypto industry as it wiped out billions of funds from the market. As a part of its revival strategy, the underlying blockchain was split into two. Terra Luna 2.0 is a hard fork of the original Terra blockchain and now it consists of two cryptocurrencies – LUNA and LUNC.
The main difference between LUNA and LUNC is that LUNA is the native cryptocurrency of the new Terra Luna 2.0 blockchain whereas LUNC or Luna Classic is the native cryptocurrency of the old blockchain.
It is easy to feel confused about both of these cryptocurrencies as only the last letter is different in their symbols – LUN‘A’ and LUN‘C’. We will discuss LUNC vs LUNC and explain their differences in detail in the present article. Read on!
Terra Classic or LUNC is currently trading at $0.0001812, with a gain of more than 120% in the last 30 days. The coin has also surged close to 9% in the past one year.
Terra or LUNA’s price is currently trading at around $0.9657. In the past 30 days, the coin has gained close to $40%. However, LUNA is down nearly 40% in the last one year.
Terra Luna or LUNA was the native cryptocurrency of the original Terra blockchain network. But LUNA when the blockchain was founded in 2018 and LUNA right now are two different cryptocurrencies. Its founder Do Kwon decided to hard fork the old blockchain when the Terra Luna ecosystem collapsed. As a result, Terra Luna 2.0 has emerged.
The cryptocurrency on the new blockchain is called LUNA and the cryptocurrency on the old blockchain is named Luna Classic or LUNC. Thus, LUNA and LUNC differ based on the circumstances of their origin.
The LUNC cryptocurrency is connected to its sister token USTC based on some predefined conditions. USTC is an algorithmic stablecoin and its value impacts the supply of LUNC tokens and vice versa. Though it seemed like a great idea in the beginning, it could also be the major reason for Terra Luna’s historical crash.
The founders wanted to start fresh when the old Terra blockchain was hard forked. They made sure that the new LUNA cryptocurrency cuts all ties with its algorithmic stablecoin. So, the next main difference between LUNA and LUNC is that the new LUNA is not pegged to any stablecoin but the old LUNC is still connected to the USTC stalecoin.
For context, the price of LUNC has increased when USTC saw an incredible price surge after an acquisition by Terra Luna Classic Labs. That’s how much the value and supply of each token impacts the other one.
The token supply and market capitalization are the primary and most-obvious differences between LUNA and LUNC. While the total token supply of LUNA is more than 1 billion, LUNC has a total supply of 6.83 billion. The market capitalization of LUNA is $4.3 million as of November, 2023 whereas it is more than $585 million during the same period.
The market capitalization of LUNA is $580 million as of 12 December 2023. Whereas the market cap of LUNC stood at more than $1.05 billion during the same period.
As a part of the revival plan to make the Terra blockchain up and running, the team introduced a token burning mechanism for LUNC tokens. It started in September 2022 and burned millions of LUNC tokens so far to reduce the inflated supply and to increase its value. On the other hand, LUNA cryptocurrency does not have any token burning mechanism.
The Terra Luna classic project started to charge 1.2% burn tax on all on-chain Luna Classic LUNC transactions. Leading crypto exchange Binance also started to contribute to the efforts of Terra team in burning LUNC tokens. It started to convert the trading fees of LUNC/BUSD and LUNC/USDT trading pairs and burned them.
LUNC token initially had several applications like enabling merchant payment systems, providing governance rights, stablecoin pools, etc. However, it is now focusing on decentralization and community governance after the collapse.
On the other hand, the development of new blockchain LUNA is still in progress. If the team succeeds in developing a robust blockchain this time, we can expect it to offer several prominent blockchain applications. Moreover, the team is prioritizing stability more than anything in case of the new LUNA token.
After the Terra blockchain crashed, Do Kown came up with several revival plans, some of which worked out and some didn’t. The developer team decided to start a new blockchain with a hard fork and is now focusing on developing it.
The new Terra Luna 2.0 blockchain and its LUNA token have several future plans and a roadmap to create a stable and viable blockchain. Whereas, the old blockchain has no such clear roadmap for future developmental plans. Its future completely depends on the commitment of crypto community and developer team.
| Feature | LUNA | LUNC |
| Native Blockchain | Terra Luna 2.0 | Original Terra Blockchain |
| Stablecoin Connection | No | Connected to USTC stablecoin |
| Total Supply | > 1 billion | 6.83 billion |
| Market Cap | $580 million | > $1 billion |
| Token Burning Mechanism | No token-burning mechanism | Token burning mechanism in place |
| Use Cases | Development ongoing, various potential applications | Initially diverse, now focused on decentralization |
LUNA and LUNC are like two peas in different pods but still hold some connection. Even though both LUNA and LUNC seem similar, they share clear differences.
LUNA is the native cryptocurrency of the new Terra 2.0 blockchain and LUNC is the native crypto of the old one. This is the root of all the differences between LUNA and LUNC. We hope this article helps you in understanding the variations between LUNA and LUNC clearly. And, helps you address them properly when you discuss these crypto next time.
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