Token

Burn

Terra Classic

Terra

<p>Terraform Labs recently burnt 251 billion LUNC and 264 million USTC, decreasing the number of tokens in circulation significantly.</p> 
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
   https://twitter.com/Chot4a/status/1853339304258367948 
 </div>
</figure> 
<p>With these burns, many in the crypto community ask if LUNC could make a comeback and perhaps reach $1.</p> 
<h2 class="wp-block-heading" id="h-lunc-s-increased-supply-and-the-burn-program"><strong>LUNC’s Increased Supply and the Burn Program</strong></h2> 
<p>After the downfall of the Terra ecosystem in 2022, the supply of LUNC tokens increased greatly. This led to reduced prospects regarding the value of the token.</p> 
<p>However, this supply has been a problem in the recovery. Since it has stagnated with trillions of tokens in the market. This program has received considerable backing from Binance to burn LUNC equivalent to trading volume fees on its platform.</p> 
<p>Efforts made in burning have been rather moderate, around 4% of the $6 trillion supply has been burnt. For the burn initiative to affect the prices, analysts recommend that the burn rate needs to increase substantially to offset the high inflation of LUNC tokens.</p> 
<p>The burns have received positive sentiment from the community, but higher prices for LUNC will require increased demand. Hence, without strong and consistent buying interest and activity, even large burns may not bring the price anywhere close to $1.</p> 
<h2 class="wp-block-heading" id="h-regulatory-compliance-and-recent-developments"><strong>Regulatory Compliance and Recent Developments</strong></h2> 
<p>TFL’s recent burns are due to compliance with regulations after an SEC settlement, which led to the burning of certain assets stored in Shuttle Bridge wallets.</p> 
<p>Apart from token burning, the&nbsp;<a href="https://www.thecoinrepublic.com/2024/10/30/lunc-eyes-breakout-as-analysts-predict-bullish-potential-post-burn/">Terra Luna Classic community</a>&nbsp;has introduced a new tax system called the “Reverse Charge” mechanism.</p> 
<p>This approach enhances simplicity due to the reduction of numerous transaction taxes that are normally subtracted before the funds reach the recipient.</p> 
<p>Also, the Reverse Charge mechanism removes double taxation losses from smart contract execution, making the user experience better across the chain.</p> 
<h2 class="wp-block-heading" id="h-price-analysis-and-forecasts-for-lunc"><strong>Price Analysis and Forecasts for LUNC</strong></h2> 
<p>Currently,&nbsp;<a href="https://www.thecoinrepublic.com/price-prediction/terra-luna/">LUNC</a>&nbsp;is still struggling at around $0.00008297, indicating significant bearishness. Looking at the forecast of the price for November, it is expected to rise within the forecasted range of $0.318587 to $1.085259.</p> 
<p>Some optimistic targets predict $0.987665 to $1.509772 by year-end or even higher than the present price.</p> 
<p>Moving forward to 2025, analysts estimate a ranging price of $0.543725 and $1.285065. Sustained growth depends on successful burn programs, higher demand, and ongoing community efforts to strengthen the Terra Luna Classic network.</p> 
<p>LUNC’s future is uncertain, and investors are advised to remain cautious due to the high volatility and unpredictability of the cryptocurrency market.</p> 
<p>As community-led burns, regulatory improvements, and structural changes continue, only time will tell if LUNC can overcome its challenges. While reaching $1 may be a distant goal, the Terra Classic community remains hopeful that these initiatives will foster recovery and long-term value stability.</p> 
<p>The post <a href="https://www.thecoinrepublic.com/2024/11/05/can-terra-luna-classics-massive-token-burn-push-lunc-to-1/">Can Terra Luna Classic’s Massive Token Burn Push LUNC to $1?</a> appeared first on <a href="https://www.thecoinrepublic.com">The Coin Republic</a>.</p>

Can Terra Luna Classic’s Massive Token Burn Push LUNC to $1?

Table of Contents

Thecoinrepublic.com

Other articles published on Nov 5, 2024

Hedera Integrates LayerZero Amid Mainnet v0.54 Release

2024’s Best Crypto to Buy for Profit: What Experts Are Watching

Binance Burns 1 Billion LUNC Tokens – What’s Next for Terra Luna Classic?

Bitcoin Price Swings as ROSE Coin Prepares to Rise

Revolutionizing Financial Interactions: Best Cryptocurrencies to Invest in November 2024

Vitalik Buterin Calls Michael Saylor's Bitcoin Custody Remarks “Batsh*t Insane”

Join our free newsletter for daily crypto updates!