Despite a recent slump in price, Terra Classic (LUNC) is experiencing a surge in staking activity, as a record amount of tokens are locked away in staking with highly anticipated mega burns on the horizon.
This staking milestone came shortly after LUNC reached a token burn milestone, and these developments could signal a potential turning point for the embattled cryptocurrency, which has been struggling to regain its footing after the collapse of UST, the Terra blockchain algorithmic stablecoin, in 2022.
A New Staking Milestone
The number of LUNC tokens staked has reached an all-time high, with over 1.021 trillion tokens locked in staking contracts. This represents about 15% of the total supply, showcasing the community’s unwavering commitment to the project.
Notably, this figure marks a significant increase from just 957.32 billion tokens staked on January 7th, highlighting a rapid acceleration in staking activity within a short period.
Salqain Ali (@SalqainAli888) shared the news with the LUNC community on X. This bullish trend is fueled by the understanding that staking plays a crucial role in maintaining the token’s value.
Staked tokens are essentially removed from circulation, reducing the overall supply and potentially leading to price appreciation. Furthermore, staking rewards incentivize holders to participate in the network’s security and governance, fostering a more engaged and invested community.
Staking is going up & 1.021T #LUNC coins got staked which is 15% of Total supplies.#LUNCcommunity we touch the 15% in staking now let's reach 20% & also #LUNCBURN is our main target in this & hopefully we all will see it.
— 🧩🐂Saqlain Ali🐂🧩 (@SaqlainAli888) January 27, 2024
Mega Burns on the Horizon
Adding to the positive sentiment is the upcoming series of mega token burns, further intensifying the deflationary pressure on LUNC’s supply.
The community successfully incinerated over 1 billion tokens in the past week. The anticipation is high for the upcoming Binance burn, which is expected to contribute significantly to the total burn amount.
The Binance burn, combined with those executed by BurnItAll, a LUNC validator, is estimated to account for more than 50% of all LUNC burns. These large-scale burns are expected to have a tangible impact on the token’s scarcity, potentially triggering a positive price response in the long run.
We are on twitter, follow us to connect with us :- @TimesTabloid1
— TimesTabloid (@TimesTabloid1) July 15, 2023
The ongoing efforts to revive Terra Classic (LUNC) are a testament to the resilience and dedication of its community. Despite the challenges faced since the USTC collapse, community members remain actively involved in the project’s development and governance.
The increasing staking participation and upcoming mega burns indicate their unwavering belief in LUNC’s potential for future growth.
While the road to recovery remains long, a prominent crypto proponent recently urged the community to focus on the $0.03 target rather than short-term fluctuations. The community’s commitment to the project and the deflationary measures could pave the way for it to reach that target.