Reviving Terra Luna Classic: USTC Repeg Proposal Approved – A Path to $1 for LUNC & USTC?

Bombolo | News and Media

In the fast-paced world of cryptocurrency, the Terra Luna Classic (LUNC) community recently made a significant decision that sent ripples through the blockchain. This decision involved allocating funds to the USTC Quant team for the month of August. However, the road to this allocation was not without its twists and turns.

Also Read: Terra Luna Classic's Journey to $1 with Market Swap Reopening for LUNC and USTC

The Initial Hurdles

At the outset, the proposal faced a daunting challenge. It failed to garner the minimum votes required for approval. The setback was partly attributed to technical issues with the Terra Station Wallet, which temporarily hampered the voting process. This hiccup led to members of the USTC Quant team pointing fingers at some validators, suspecting foul play in the outcome of the proposal.

Resilience and Redemption

Undeterred by the initial setback, the USTC repeg team resubmitted the proposal, breathing new life into their cause. This time, the results were nothing short of remarkable. Proposal 11730, titled "USTC / Stable Algo Quant Team," witnessed an impressive turnout of validator votes. Moreover, the Terra Station Wallet was back in action after a brief hiatus.

Out of approximately 50 validators involved in the governance voting, an impressive 35 rallied in favor of the proposal. The "Yes" votes accounted for a solid 50 percent, comfortably surpassing the required threshold for approval. Notably, there were also 8 percent "No" votes and 7 percent "No with veto" votes. Interestingly, the validator with the most voting power, Allnodes, decided to "Abstain," making up 35 percent of the total votes.

Also Read: The Terra Luna Classic Community's Move Towards Reopening LUNC and USTC Market Swap

Supporters and Acknowledgments

Among the validators who threw their weight behind the proposal were prominent names like DFLunc, Stakely, 1maxfee, TerraCVita, LUNC DAO, and StakeBin. One of the validators even commended the USTC repeg team for their dedicated work, particularly in managing commissions. As a result, the USTC repeg team now has ambitious plans to identify and eliminate sources of "zombie USTC" without seeking additional funding.

A Community United

The Terra Luna Classic community didn't stop at this milestone. Another significant proposal, labeled Proposal 11710, was put forth. This proposal advocated for the burning of a staggering 800 million USTC tokens. An overwhelming majority of approximately 85 percent of engaged participants voiced their resounding support, with only 8 percent opting to abstain, and a mere 7 percent opposing the idea.

Also Read: Bearing Witness to Terra Classic: The Price Forecast as 5 Billion LUNC Tokens Are Unstaked

LUNC and USTC Price Dynamics

As with many other cryptocurrencies, both LUNC and USTC have experienced fluctuations in their market value. The decision by the United States Securities and Exchange Commission (SEC) to delay its verdict on seven spot Bitcoin (BTC) Exchange Traded Fund (ETF) applications had a ripple effect, triggering a selloff across the broader crypto market.

As of the latest data, LUNC was trading at $0.00006043, representing a decline of 1.19 percent in the past 34 hours and roughly 22 percent in the last month. Its 24-hour trading range fluctuated between $0.0000612 and $0.0000644. Meanwhile, USTC exhibited a slight resurgence, currently trading at $0.01209, marking a 1.60 percent increase in the past 24 hours. During this period, its trading volume surged by an impressive 150 percent.

Preparing for the Future

In the midst of market turbulence, Terra Luna Classic is gearing up for the v2.2.0 core upgrade. Anticipated to launch on the mainnet in September, this upgrade has undergone meticulous preparation by the LUNC developer L1 Terra Classic Task Force (L1TF). Collaborations with front-end and contract teams on the testnet have already been initiated to ensure a seamless transition and backward compatibility.

Given the active development activity within the Terra ecosystem, it wouldn't be surprising to witness LUNC and USTC retesting the elusive $1 price level in the not-so-distant future.

In conclusion, the Terra Luna Classic community's journey from initial setbacks to resounding successes is a testament to their resilience and commitment. These recent proposals and market dynamics showcase the ever-evolving nature of the cryptocurrency world.

Also Read: Terra Luna Classic Price Predictions for August, September, and October 2023

FAQs

1. What is the significance of the USTC Quant team's funding allocation?

   The funding allocation to the USTC Quant team is crucial for advancing their work in the cryptocurrency space, particularly in the stable algorithm domain.

2. How did the Terra Station Wallet issue impact the initial proposal vote?

   Technical issues with the Terra Station Wallet temporarily hindered the voting process for the proposal, contributing to its initial failure.

3. Why did some validators abstain from voting on Proposal 11730?

   Some validators, including Allnodes, chose to abstain from voting, possibly due to a desire to remain neutral or refrain from influencing the outcome.

4. What does the burning of 800 million USTC tokens entail?

   The burning of 800 million USTC tokens involves permanently removing them from circulation, which can impact supply and demand dynamics.

5. What factors could contribute to LUNC and USTC retesting the $1 price level?

   Active development within the Terra ecosystem and positive market sentiment could potentially drive LUNC and USTC towards the $1 price level in the future.