Terra Luna Classic (LUNC) Adds Over $1 Billion to Market Cap Amid Growing Interest After Burn Proposal

Terra Luna Classic (LUNC) has had quite an impressive rally in the past week. 

The cryptocurrency has seen its price skyrocket by 81% in the past seven days and 146% in the past two weeks. 

Over the past 14 days, LUNC price surged from a low of $0.00008919 to above $0.00028268. Interestingly, this remarkable growth of LUNC’s price also saw over $1 billion added to the token’s market capitalization. 

According to data from CoinMarketCap, a total of $1.02 billion was added to LUNC’s market capitalization in the past week. At press time, LUNC boasts a market cap worth $1.61 billion, while the asset class is changing hands at around $0.00024983. 

Community Project Fuels LUNC Value

LUNC’s impressive growth comes following exciting community initiatives. Recall that after the original chain of Terra collapsed, the project’s creators sought ways to make investors whole. Terra team opted to launch new tokens despite community preference for burns. 

In what seemed like Terra’s original chain had been abandoned, investors took it upon themselves to reduce the total supply of LUNC total supply. An incineration address was created where the community can transfer their excess tokens to. The effort has so far seen over 3 billion LUNC destroyed. However, victims of the Terra collapse wanted more as they urged the Terra team to implement a 1.2% tax burn on all on-chain LUNC transactions. 

New Tax Burn Proposal for Exchange

Recently, Edward Kim made a proposal for a change in the tax parameter. Since the previous proposal could not apply the 1.2% tax on centralized exchange trading, Kim opined that the movement of LUNC between an exchange’s hot and cold wallet would be taxed. 

“[…] Depending on the mechanisms that these trading exchanges use, such as moving from hot to cold wallets, that activity can and will be taxed and burned,” Kim noted. 

Currently, the proposal is still up for discussion, with Kim planning to submit it after the necessary talks are concluded. 

Terra Team Launches New Feature for Old Chain

Meanwhile, the Terra team remembered its old chain over the week after it released a new upgrade, version V22. The latest upgrade featured a staking option and a Governance Alert Bot. Governance Alert Bot is a feature designed to inform Terra investors of all ecosystem activities. 

1/ ?Announcement?

Today, we’re excited to roll-out a new Governance Alert Bot ? that will alert you to the latest governance activity happening on Terra ?

— Terra ? Powered by LUNA ? (@terra_money) August 29, 2022

Source