Terra Luna Classic Community Set To Burn 800 Million Tokens, LUNC And USTC To $1?

The Terra Luna Classic community favors burning 800 million USTC tokens linked to Ozone Protocol rather than returning them to the community pool. Validators and some members have introduced a counter-proposal to prominent member Vegas’ proposal to return the 800 million USTC tokens back to the community pool.

Terra Luna Classic Proposal To Burn 800 Million USTC

Proposal 11658 “Return of Community funds not used” by ex-Terra Rebels developer group member Vegas is up for voting. The proposal brought attention to idle 800 million USTC tokens related to Ozone Protocol and aims to return these tokens to the Terra Luna Classic community pool as the project is not actively following the proposed development plan.

The Ozone protocol was initially proposed by Terra co-founder Do Kwon and bootstrapped using funds from the community pool. The Ozone V1 and Ozone V2 saw high demand for their underwriting capacity. However, the Risk Harbor team has not utilized 1 billion UST (now USTC) fully as intended. Thus, the funds should return to the community pool.

However, a counter-proposal by DNC, M Van S, Lunanauts, and SolidVote Validator aims to burn 800 million LUNC, even if Proposal 11658 passes. The new Proposal 11660 claims that a large portion of the community is requesting these funds to be burned.

“We neglected to use the Commonwealth platform to discuss for the recommended 7 days due to the simplicity of the proposal and the critical timing. This proposal is required as a counter to 11658 before a flurry of spend proposals arrive.”

Top validators look to favor the counter-proposal and set forward the mechanism to burn 800 million USTC a wallet linked to Ozone Protocol. It will provide a necessary push to USTC repeg and LUNC developments, which have failed to bring a strong upside momentum in USTC and LUNC prices.

Also Read: XRP Lawyers, Coinbase CLO Share Significance Of Judge Torres’ Ripple Ruling

LUNC and USTC Await Breakouts

LUNC price fell more than 1% in the past 24 hours, with the price currently trading at $0.000080. The 24-hour low and high are $0.0000800 and $0.0000820, respectively. According to CoinGape Markets, LUNC price can recover above the $0.00009 support level due to triangle pattern formation.

Meanwhile, USTC price trades at $0.015, down 2% in the past 24 hours after a recent 50% rally amid USTC repeg announcements. Trading volumes declined in the last few days as traders moved back to LUNC.

Also Read: Terra Luna Classic (LUNC) Key Governance And Decentralization Proposal Officially Passed