Terra Classic is currently voting on a significant proposal that aims to re-enable inter-blockchain communication (IBC) with the Osmosis protocol. If the community approves this proposal, it will restore transfers between Terra Classic and Osmosis. This move comes after the expiration of Client ID 07-tendermint-12 on the columbus-5 network, which previously referred to the Osmosis validator set.
How has the LUNC price moved recently?
Today, Terra Classic (LUNC) is trading at $0.000106 with a 24-hour trading volume of $11.19 million. The cryptocurrency has a market cap of $610.85 million and a market dominance of 0.03%. Over the past 24 hours, LUNC’s price has fallen by 2.79%.
Historically, LUNC reached its peak price of $119.01 on April 5, 2022. Its lowest point occurred on May 13, 2022, when it fell to $0.00001651. Since this all-time low, the highest price LUNC has reached is $0.000590.
Currently, the price forecast sentiment for Terra Classic is bearish, despite the Fear & Greed index indicating a level of 72, which falls under the ‘Greed’ category.
Terra Classic’s circulating supply stands at 5.79 trillion LUNC out of a maximum supply of 6.88 trillion LUNC. The annual supply inflation rate is -1.49%, indicating a decrease of 87.43 billion LUNC over the past year.
LUNC Price To Hit $3 Soon?
Proposition 12104, known as “Reactivate Osmosis IBC,” is currently being considered on the Station purse. This proposal, introduced by developer Fragwuerdig, who is a former member of the core development team, aims to re-enable inter-blockchain communication (IBC) between Terra Luna Classic and Osmosis.
Recently, Terra Classic community member and validator Vegas pointed out the need to update the Osmosis IBC client to ensure the smooth operation of interchain transfers between LUNC and Osmosis. The current client, identified as 07-tendermint-12, must be upgraded to version 07-tendermint-250 for seamless IBC functionality.
The proposal has received overwhelming support, with more than 96% of votes so far. However, there is a small contingent opposed to it, with 3% of votes marked as “No with veto.” The deadline for voting is set for May 25. Validators such as LuncGoblins, Moon Rabbit Validator and MoonRunners have all endorsed the proposal, highlighting its critical importance to the network.
Restoring the IBC between Terra Luna Classic and Osmose is essential for re-establishing efficient communication and transaction capabilities between these two blockchains. IBC facilitates seamless communication and asset transfers between different blockchain networks.
Upgrading the IBC client from 07-tendermint-12 to 07-tendermint-250 is necessary to keep the IBC relay operational and up to date. This upgrade addresses the technical obsolescence of the current client, ensuring the continued interoperability and performance of the Terra Luna Classic network.
The substantial community support for this proposal highlights the importance of maintaining network functionality and enabling efficient interchain transfers.
Binance, the leading cryptocurrency exchange worldwide, recently conducted another significant burn of Terra Luna Classic (LUNC) tokens. In its 21st round of the LUNC burning mechanism, Binance eliminated an additional 1.4 billion LUNC tokens. This recent fire pushes Binance’s total LUNC burned to date to over 59 billion tokens.
Collectively, the Terra Luna Classic community has burned over 113 billion LUNC tokens. Since 2022, Binance has consistently supported the revival of Terra Luna Classic by conducting monthly LUNC burns, which help reduce the circulating supply of the token.
Token burning is a strategic process used to reduce the circulating supply of a cryptocurrency, potentially increasing its value by creating scarcity. Binance’s regular burning of LUNC tokens is part of its strategy to support the Terra Luna Classic community and help revive the token. By burning 1.4 billion LUNC in its latest round, Binance not only reduces supply, but also reaffirms its continued commitment to the community’s goals.
The cumulative burning of over 59 billion LUNC tokens by Binance, together with the wider community’s efforts that have burned over 113 billion tokens, highlights a significant concerted effort to stabilize and potentially increase the value of Terra Luna Classic . Binance’s monthly burns are crucial in this ongoing process, demonstrating the importance of coordinated actions in the cryptocurrency market to achieve long-term goals.
Based on the significant token fires conducted by Binance and the Terra Luna Classic community, the LUNC circulating supply has been significantly reduced, which may cause upward pressure on the token’s price due to increased scarcity. Binance alone burned over 59 billion LUNC, contributing to a total of over 113 billion tokens burned by the community.
While these efforts support the potential for price appreciation, predicting a specific target such as $3 involves considering broader market factors, investor sentiment and overall demand for LUNC. While the burns are a positive step toward price stabilization and potential growth, reaching $3 will likely require sustained demand and further reductions in supply, along with favorable market conditions.
Disclaimer for Uncirculars, with a Touch of Personality:
While we love diving into the exciting world of crypto here at Uncirculars, remember that this post, and all our content, is purely for your information and exploration. Think of it as your crypto compass, pointing you in the right direction to do your own research and make informed decisions.
No legal, tax, investment, or financial advice should be inferred from these pixels. We’re not fortune tellers or stockbrokers, just passionate crypto enthusiasts sharing our knowledge.
And just like that rollercoaster ride in your favorite DeFi protocol, past performance isn’t a guarantee of future thrills. The value of crypto assets can be as unpredictable as a moon landing, so buckle up and do your due diligence before taking the plunge.
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