After announcements by MEXC, Gate.io, Binance and Kucoin, Kraken has just announced its support for the on-chain application of the burn tax linked to LUNC.
The hopes of the LUNC community still showered
While a few days ago speculation was rife on the evolution of the price of the LUNC token, with holders who were delighted with the burn tax to come, their feelings have since ceased to be undermined. by crypto exchanges – which the legal setbacks of Do Kwon have only reinforced, causing a fall in the ecosystem on the markets.
While crypto exchanges are of paramount importance for the application and intensification of LUNC burn, the on-chain application of the proposal submitted by the community is the one to be the majority retained for the moment.
Now it is the turn of the Kraken exchange to join the list of exchanges accepting the “tax burn“, but for an application… only on chain of it, i.e. deposits and withdrawals of LUNC on Kraken. Kraken represents nearly 1% of LUNC’s daily trading volume, which is far from what Binance (44%) or Kucoin (10%) represent, the two main crypto exchanges on which the token is traded.
Now, the main exchanges on which the Terra Classic can be traded are all part of the game, with Binance, Kucoin, Huobi, Gate.io, krakenMEXC, Btc Turk Prowho confirmed their participation once the proposal was officially approved.
A burn tax soon in action but already effective on MEXC
The implementation of the burn tax is expected for September 20/21 on most exchanges. For its part, however, the crypto exchange MEXC is already burning LUNC through trading fees from pairs linked to the Terra Classic token (repurchases of tokens then shipments to the dead wallet using the sums collected from fees trading at 1.2%).
The results of MEXC are already conclusive, with over 360 million tokens that have been burned in 11 trading days. While MEXC represents less than 1% of the entire token volume (0.65%), expanding a full application of the proposal from the Terra ecosystem could greatly intensify the burn of LUNC. Indeed, while MEXC burned more than 46,000,000 tokens on September 14, nearly 7 billion tokens could have been burned if all the exchanges on which LUNC is traded fully participated in the burn.
While the proposal is in the process of voting (19 hours of votes remaining at the time of writing this article), 99.94% are currently in favor of its acceptance (with the latest modifications).
The objective is clear: beyond restoring a decent exchange price to the LUNC, the USTC re-peg is also in the spotlight. Indeed, this stablecoin is currently still far from the dollar ($0.037).
However, the USTC is also concerned by this application of the burn tax, so as to restore a certain utility to the tokens of the ecosystem but also to allow losing investors to recover even a part of their investment. .
After this support provided only in part to the community of the LUNC token, the influencers of the community did not hesitate to express their dissatisfaction but also to increase the pressure on the exchanges, well aware that the latter are probably the key. for the LUNC to find a decent price.
According to the latest information circulating on Twitter, while Binance is responsible for between 40-50% of Luna Classic’s daily trading volume, more than 35% of the circulating supply is on Binance.
For the moment, while an off-chain application is not yet confirmed by the exchanges, the Terra community can only be patient and find comfort in the messages left by certain exchanges, evoking a possible reconsideration after the latest changes to the proposalEdward Kim. CZ and Binance are going to have to watch their communication, at the risk of receiving another lash from the entire Terra community, from LUNC DAO to Fatmangreatly disappointed with Binance’s first official announcement.
All information on our website is published in good faith and for general information purposes only. Any action taken by the reader based on information found on our website is entirely at their own risk.
We would like to say thanks to the writer of this write-up for this awesome web content
LUNC: exchanges only partially support the burn tax – BeinCrypto International
Our social media profiles here , as well as other related pages herehttps://metfabtech.com/related-pages/