Fireblocks Situation Risks Binance And Other Exchanges To Delist Terra Luna Classic (LUNC)

Digital asset infrastructure providers such as Fireblocks announces to stop supporting Terra Luna Classic (LUNC), adding another challenge for LUNC community to revive the ecosystem. The companies have cited many reasons that pose a high risk of loss of funds and overall instability. This could mean Terra Luna Classic’s largest supporter Binance may also delist LUNC token.

Binance To Delist Terra Luna Classic Amid Fireblocks Warning

LUNC DAO in a post on August 8 revealed that several digital asset infrastructure providers such as Fireblocks ending support for Terra Luna Classic (LUNC). This means LUNC getting delisted from centralized exchanges using FireBlocks as a custody solution or other services.

According to the announcement shared by LUNC DAO, Fireblocks cited several reasons behind its decision to drop LUNC support. It includes unreliable public nodes infrastructure, non-central governance leading to uncoordinated decision making regarding upgrades and changes, frequent changes in tax fee structure, and lack of any technical documentation.

“We have been monitoring this network closely for more than six months now, and we realize that this chain bears a very high risk of loss of funds and overall instability.”

He blames VP centralization, proposals, and Joint L1 Task Force team actions leading to the risk of LUNC delisting by crypto exchanges. However, he shared good news for the community as speculation arises that Binance used a different custody solution for LUNC. Binance is the largest exchange committing support to the Terra Luna Classic community.

The community is considering reaching out to Fireblocks and Binance to avert FUD. In addition, the community members are denying to sell their LUNC or USTC tokens to show their support to the chain.

Also Read: Terra Luna Classic Proposals To Burn 800 Million Tokens Officially Passed, USTC & LUNC To $1?

LUNC Price Falls In Response

LUNC price fell more than 1% in the past 24 hours and 3% in a week, with the price currently trading at $0.000077. The 24-hour low and high are $0.0000758 and $0.0000785, respectively.

Meanwhile, USTC price trades at $0.0152, up nearly 2% in the past 24 hours and 31% in a month amid USTC repeg efforts. The trading volume has also increased by 110% in 24hrs.

Also Read: Is PayPal’s PYUSD Stablecoin By Paxos Good, Bad Or Ugly For Crypto Industry?