The latest update from the official LunaClassic HQ Twitter page confirms that the burn rate of Terra Classic (LUNC) is gradually inching toward 70 billion.
Burning Tokens to Boost Its Value
According to the update shared, the total LUNC tokens burnt is currently pegged at 68,303,850,914, representing only about 0.99% of the total supply. Out of this total LUNC burned, 44,789,088,501 has just been sent out to the burning address.
Markedly, burn exercises are common practices in the crypto world and are usually carried out to reduce the circulating supply of a particular token. It is conducted with the hope that the value of the specified digital asset will increase with market demand. The Shiba Inu (SHIB) protocol is one crypto project that has kept faith with consistent burning of excess SHIB tokens in circulation.
A Terra Luna Classic proposal was approved earlier to burn all Terra Classic tokens from the community pool as well as those reminted from the crypto exchange Binance’s LUNC burn wallet.
The core aim of the proposal was to burn as much Terra Classic tokens as would be necessary to help restore the legacies of the digital currency before its associated algorithmic stablecoin USTC got de-pegged.
Binance Joins the LUNC Burn Campaign
So far, leading cryptocurrency exchange Binance has been an integral part of this burn campaign as it recently helped sent a total of 2.65 billion Terra Classic tokens in the 11th batch of the LUNC burn mechanism to dead wallet.
This 11th batch of the LUNC burn attracted a transaction fee of 13.25 million LUNC which was also included in the total figure. As of July 1st, the total LUNC burned by the Changpeng ‘CZ’ Zhao-led crypto exchange had reached more than 35.5 billion inclusive of trading fees on LUNC spot and margin trading pairs respectively.
Over the last few months, LUNC burn rate has been noticed to improve especially after projects like DFLunc, TerraCasino, and Cremation Coin joined the burn trend. All these put together, is what has translated into the value of today’s total burned Terra Classic tokens.