Terra Classic (LUNC) and its All-Time High Market Cap
Terra Classic (LUNC), previously known as Terra (LUNA), achieved its all-time high price of $119.18 on April 5, 2022, along with a market cap of $41 billion. However, following the collapse of UST, the native token of the Terra network, LUNC experienced a significant price crash.
Here are the key points regarding the impact of the UST collapse on LUNC:
– The Terra DAO decided to mint trillions of tokens after the crash, resulting in a drastic change in the tokenomics of the project. This caused LUNC to have one of the highest circulating supplies among all cryptocurrencies.
– Due to the massive supply inflation, LUNC’s perceived value was heavily affected. Currently, with a circulating supply of approximately 5.82 trillion tokens, one LUNC is worth close to $0.0070446, which is 99.99994% less than its all-time high price.
– If LUNC were to reach its all-time high price again, it would result in a market cap of over $690 trillion. To put this into perspective, the New York Stock Exchange (NYSE) has a market cap of $22.65 trillion. Therefore, it is unlikely that LUNC will reach such prices unless significant token burns occur.
– Currently, LUNC is trading at $0.000065, indicating the potential for investors to gain over 10,000% if previous demand levels are met.
– The DeFi ecosystem for Terra Classic has also faced a decline, with a total value locked (TVL) of only $1.6 million among all LUNC protocols.
In conclusion, the collapse of UST had a profound impact on the value and market cap of Terra Classic (LUNC). While there is potential for significant gains if previous demand levels return, the challenges faced by the Terra Classic community in regaining all-time high demand are substantial.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative, and there is a risk of capital loss.
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