Binance Resilient Terra Classic Burns (LUNC)
JAKARTA The world's largest crypto exchange company, Binance, has reportedly suspended the burning or burning token process from the Terra Classic (LUNC) trading costs. The temporary suspension will be carried out until March 2023.
For information, burning or burning is an effort to reduce the number of tokens in circulation. In this context, Binance has a role in the process of burning LUNC tokens.
In Binance's official announcement on December 28, the exchange has made changes to the LUNC combustion mechanism to continue to support the Terra Classic community in reducing the supply of LUNC tokens. Thus, Binance will burn 50 percent of LUNC's spot and margin trading costs instead of the 100 percent applicable from 28 December.
Binance confirmed the move came after the latest developments were linked to Proposal 10983 and Proposal 11111, where LUNC burn was reprinted as development funds. In addition, crypto exchanges will delay sending Terra Classic (LUNC) trading fees to burn addresses until March 1, 2023. This will prevent LUNC trading costs from being reprinted until the community passes the main proposal.
Launching CryptoPotato, Binance is in discussions with the Terra Grants Foundation, led by core developer Terra Classic Edward Kim, to make the necessary changes. This includes setting up a new burn wallet to prevent reprinting LUNC tokens and Binance wallet whitelists from taxing when transferring these wallets.
Binance said if the community fails to make these changes, crypto exchanges could stop the combustion mechanism.
"Binance will continue to work closely with the community to support the implementation of this new plan, and if for whatever reason this cannot be done, Binance will consider withdrawing the contribution of burn in the future," Binance announced.
Validator LUNC DAO blamed Terra Sarjanals for completely destroying his relationship with Binance. He advised the LUNC community to meet the requirements to maintain Binance support. The community has passed Proposal 11111 to lift Proposal 10983 to return a 10 percent reserve from the burning tax 0.2 percent and add to the community pool, instead of a 50 percent reserve.