As Binance Burns Many Tokens, Terra’s Luna Classic Rises

While they wait for official data from the major exchange, traders are upbeat.

The price of Luna Classic, or LUNC, reached $0.000365 in the middle of Sunday as traders awaited final token burn figures from Binance. This represents gains of more than 70% for the week and more than 44% for the month. This is because most cryptocurrencies only witnessed little rises.

Even if the relative statistics are great, the price has decreased significantly from its $100 pricing in April. However, the recent trading activity was sufficient to propel LUNC into the top ten cryptocurrencies by trading volume and increase its market cap to more over $2.1 billion, according to CoinGecko. This places it close to Bitcoin Cash, which has been teetering on the verge of the top 30 cryptocurrencies for the past seven days.
The now-famous Terra blockchain’s token, Luna Classic, crashed in May, prompting politicians to contemplate outlawing similar algorithmic stablecoins.


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The awaited announcement


The largest cryptocurrency exchange in the world, Binance, revealed intentions to reduce the token’s supply on Monday. The exchange stated: “Binance will put in place a burn mechanism to burn all trading fees on LUNC spot and margin trading pairs” by sending them to the LUNC burn address.



According to CoinGecko, LUNC increased by more over 55% within a day after the news, rising from $0.00018 to $0.00031.

Since then, the price has consistently risen beyond $0.00026, reaching $0.0003473 as of this writing after another significant increase with the start of the new month. Although Binance is anticipated to release the outcomes of its burn on Monday, traders’ expectations are already optimistic. Crypto Twitter has been keeping track of the countdown with estimates of how many tokens would be burnt, ranging from 10 billion to over 25 billion.

For individuals who lost millions of dollars in the Terra Luna crash, the profits probably don’t provide much solace. Do Kwon, the co-founder of Terraform Labs, maintains that he is not on the run, but Interpol has issued a “red alert” for his arrest. The Terra project and Do Kwon were allegedly linked to $62 million in Bitcoin on Wednesday, according to South Korean officials.