Terra Luna Classic Community Rejects Proposal for 800 Million USTC Burn
The Terra Luna Classic community has rejected a proposal to burn 800 million USTC funds. The voting deadline for the proposal, titled “Burn of 800m USTC Funds,” ended on December 27. The aim of the proposal was to burn the funds still in the Risk Harbor multisig wallet through a legally absolved route.
Due to the loss of keys by Risk Harbor and the agreement to blacklist the wallet, burning the 800 million USTC has become crucial for the community. Since fund recovery and blacklisting are no longer possible, the community plans to proceed with the burn.
To execute the burn, the core developer L1TF needs to create a contract with a sole MsgSend to transfer all holdings to a burn address. The multisig contract will then be migrated via governance to that code id, eliminating the need for validators to install any code and minimizing legal implications.
Currently, the proposal has received 30% “Yes” votes, 11% “No” votes, and 15% “No with veto” votes. The majority of members and validators have voted “Abstain” (44%). However, top validators like Allnodes, Orion, Interstake One, and Stakely have yet to vote.
LUNC and USTC Face Pressure
The price of LUNC has fallen by 3% in the past 24 hours and is currently trading at $0.000155. The 24-hour low and high are $0.000150 and $0.000161 respectively. Additionally, trading volume has decreased by 3% in the last 24 hours.
On the other hand, USTC is trading at $0.0349, experiencing a 1% decrease in the last 24 hours. The price has mostly moved sideways over the past week. The 24-hour low and high are $0.0345 and $0.0362 respectively.
Hot Take: Terra Luna Classic Community Rejects Major Burn Proposal
The Terra Luna Classic community has decided against the proposal to burn 800 million USTC funds. Despite the urgency of the burn due to the loss of keys and blacklisting of the wallet, a lack of consensus among community members and validators led to its rejection. This decision could have implications for the future of Terra Luna Classic and its governance processes. Additionally, the price of LUNC and USTC may continue to face pressure as investors react to this outcome.
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