Terra Luna Classic To Raise LUNC Burn Tax To 1.5%?

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As a seasoned researcher with years of experience navigating the complex world of cryptocurrencies, I find myself intrigued by the Terra Luna Classic community’s latest proposal to increase the on-chain tax rate from 0.5% to 1.5%. This is indeed an interesting move, considering the ongoing debate and the potential implications it may have.

Members of the Terra Luna Classic community are considering increasing the burn tax from 0.5% to 1.5%. This comes as part of the ongoing discussions regarding the burn tax distribution and Tax2Burn proposal. However, opinions within the community are split on this issue, with concerns that crypto exchange Binance could potentially suspend the LUNC burn mechanism if the on-chain tax rate is raised. In simpler terms, some members want to pay more tax when they trade Terra Luna Classic tokens, but others worry that this might cause problems with Binance, which currently handles the burning of these taxes.

Terra Luna Classic Proposes To Revise On-Chain Tax to 1.5%

Validator JesusisLord of Terra Classic suggested elevating the on-chain tax rate from 0.5% to 1.5%. Moreover, this validator recommends keeping the burn tax at its current level until a total supply of 10 billion LUNC is achieved. This proposition aligns with the community’s original target during the implementation of the burn tax mechanism.

As a seasoned crypto investor and active member of the LUNA community, I have closely followed the developments regarding the LUNC burn tax distribution. With my years of experience in the space, I have witnessed firsthand how crucial it is for projects to have a clear and effective tokenomics model.

1. If the tax rate rises to 1.5%, it means the burn tax will go up to 1.2% (from its current 0.4%). This adjustment will also enhance contributions to both the community pool and oracle pool, resulting in a tripled boost for all involved components.

The Terra Luna Classic validator shared that there will be a significant boost in the frequency of LUNC and USTC destruction from taxes, community pool contributions, and incentives for long-term staking in the oracle pool.

Based on my experience as a long-term investor and observer of the cryptocurrency space, I can tell you that this proposal holds significant importance for the community I’m a part of. From what I’ve gathered, it won’t advance to governance voting unless Tax2Gas is first implemented on-chain. As a seasoned investor, I understand the implications of such a requirement and the potential impact it could have on our digital asset.

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LUNC Burn Boost

1. Increasing the burn tax to 1.5% will boost the rate at which LUNC and USTC tokens are destroyed through taxation, increase the rate of community funding, and contribute more funds to the oracle pool for long-term staking rewards on Terra Luna Classic.

Over the past day, I’ve witnessed a 3% drop in the price of LUNC, which currently stands at $0.00008094. This slide occurred amidst a broader market selloff. Interestingly, the price fluctuated between a low of $0.0000807 and a high of $0.0000843 in the last 24 hours. However, it’s worth noting that the trading volume has decreased by a significant 38% within the same period.

As a crypto investor, I noticed that my USTC holdings took a hit today, with the price falling by 4%. Currently, it’s being traded at $0.01889. Over the past 24 hours, the lowest and highest prices recorded were $0.01878 and $0.01985, respectively. Interestingly, the trading volume experienced a significant drop of 32% compared to the previous day.

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2024-07-30 21:58