Cryptocurrency

Binance CEO On 1.2% Terra Classic (LUNC) Tax Burn: Forcing a Tax Is “Centralized”, High Tax Is “Greedy”

Binance founder and CEO, Changpeng Zhao popularly known as CZ has again shared his standpoint regarding the 1.2% LUNC tax burn that was recently activated on the Terra Classic network.

Contrary to the expectations of the Terra Classic (LUNC) community, Binance, the world’s leading blockchain ecosystem and the largest cryptocurrency exchange by trading volume is yet to implement the tax burn on the LUNC spot, margin, and futures markets. 

In a recent tweet, Changpeng Zhao (CZ) stated that imposing an initiative on Binance users is something the exchange will not do. According to him, the aim is to ensure transparency and unity in decision-making. 

Related: CZ Binance Proposes Three Steps That Would Lead To Effective Burn of Terra Classic (LUNC)

He added that Binance will only implement the 1.2% LUNC tax burn on all trading activities if LUNC holders on Binance vote in support of it. More so, CZ noted that whales will not trade LUNC with the 1.2% tax implemented by the Terra Classic community. 

Speaking indirectly to the Terra Classic (LUNC) team, the Binance CEO said that the tax levied on LUNC transactions is high citing that it demonstrates greed. However, several top exchanges including KuCoin, MEXC Global, OKX, and Huobi have shown support for the LUNC burn initiative. 

Read Also: Binance CEO Answers the Question about Terra Classic (LUNC) 1.2% Tax Burn Implementation

Part of CZ’s comments read

“A small few: if you don’t force 1.2% tax on all your users, you are centralized/ greedy.

“Me: I believe the opposite. Forcing a tax is “centralized”, high tax is greedy. We protect our users. We let our users choose. We are firm on this principle. 

“Expecting to get some attacks for this, but we stay transparent, involved, and open with our approach. 

“We are letting OUR users vote for it. Move your LUNC to Binance to participate. Otherwise, it feels a bit like letting citizens of one country vote for taxes in a different country. No? This is very much against the ethos of crypto.”


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Ndianabasi Tom

Ndianabasi Tom joined the crypto and blockchain industry in late 2018. He is an all-rounded crypto journalist and content writer. At TimesTabloid, he covers the industry's latest news, developments, and other educational content. He is a graduate of Petroleum Engineering.

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