Binance Burns 2.6B LUNC Amid Fiery Community Disputes

A colossal $236,000 worth of $LUNC has been destroyed as CZ gets an honorary proposal.

Man in Yellow binance hazmat suit and gas mask surrounded by fire.
Created by Gabor Kovacs from DailyCoin
  • The latest burning records reveal the 11th LUNC burn by Binance.
  • The burns included 50% of generated spot and margin trading fees.
  • Terra Classic community votes on a proposal to make CZ the leader.

Binance, the leading crypto exchange, completed the 11th Terra Luna Classic (LUNC) burn this Saturday. According to an official announcement, the destroyed cryptocurrency comes from 50% of LUNC spot and margin trading fees. 

The 11th burn batch equaled $236,600 during the transaction. The next event in this LUNC burn mechanism occurs on the first day of the next month, while the on-chain burning records are available on Rebel Finder.

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Following the news, many prominent members of the Terra Luna community thanked Binance CEO Changpeng Zhao for the deed. This latest burn now brings Binance’s LUNC burning efforts to 35.3 billion $LUNC tokens. Ultimately, Binance burns add up to more than 50% of all destroyed LUNC.

LUNC Community Debates Making CZ Leader

A new proposal suggests that Changpeng “CZ” Zhao, the Binance CEO, should take over the Terra Classic network. Proposal #11614 declares the idea very straightforwardly, but the proposal has divided the already conflicted community into two camps.

For instance, LUNC validator SolidVote abstained from voting on this proposal, arguing that it’s unrealistic to expect CZ “to improve the value, then give the chain back.” Another prominent validator, Lunanauts, inexorably voted no, stating that “there could be a significant conflict of interest.”

The Terra Classic community has been facing lots of conflict and division ever since Terra’s burn tax proposal was approved by both Binance and KuCoin, but part of the $LUNC holders threatened to leave due to this increased burn tax. As if that wasn’t enough, the recent Terraport controversy surfaced deeply-rooted trust issues in the embattled community.

On the Flipside

  • The massive destruction of $236,000 worth of Terra Luna Classic is yet to reflect on the altcoin’s price, as $LUNC dropped by 4.9% since last week.
  • Currently, $LUNC trades at $0.00008720, unable to reclaim the monthly high at $0.00009989, which occurred on the parity upgrade launch day.

Why This Matters

To revitalize struggling blockchains, Binance announced the Industry Recovery Initiative (IRI) after the infamous Terra Luna crash last year.

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Author
Tadas Klimasevskis

Tadas Klimaševskis is a Lithuanian journalist at DailyCoin, specializing in covering the lighter side of the crypto industry such as memecoins and pop culture in the metaverse. He has experience as a music artist, English language teacher, and freelance writer, and uses his creative writing skills to summarize valuable information in his work. He is also a strong believer in the potential of blockchain and spends his free time listening to music, traveling, and watching basketball games.