The Terra Classic community has been working tirelessly to revive the network since the collapse last May. One of the most ambitious goals is to bring LUNC back to $1 and beyond. While this may seem like a daunting task, there are a number of proposals and initiatives that could make it a reality.
One of the most promising proposals is a reverse split re-peg of the USTC stablecoin. This mechanism would re-value USTC without increasing its market valuation. In other words, the total value of all USTC coins would remain the same.
This proposal was put forth by Rex, a Terra Classic community member and TerraCVita member. Rex is a respected authority on the Terra Classic network, and his proposal has been met with enthusiasm by many members of the community.
➡️ LUNC to reach $1? 🤔 ⬅️
Why I think burning $USTC is maybe not the best use of your money.
Currently there is nearly 9.8bn $USTC minted, to make a real difference to the price you need to…
— Rexyz (@RexYellerBelly) September 18, 2023
How a Reverse Split Re-Peg Could Help LUNC Reach $1
Once USTC is re-pegged, the Terra Classic community could focus on burning LUNC tokens. This would reduce the supply of LUNC and increase its price.
As Rex has pointed out, the increased price of LUNC would make staking more profitable, attracting more investors to the network. Additionally, the bathtub curve model would prevent large investors from draining the oracle pool.
Other Factors That Could Contribute to LUNC’s Recovery
In addition to the reverse split re-peg and LUNC burning, there are a number of other factors that could contribute to LUNC’s recovery.
One important factor is network growth. The Terra Classic community has been making significant progress in attracting new developers and decentralized applications (dApps) to the network. This increased activity will help to drive demand for LUNC.
Another important factor is the overall market sentiment. If the cryptocurrency market experiences a bull run, LUNC is likely to benefit along with other coins.
Rex’s Proposal Gives the Community a Chance to Achieve Its Goals
Rex’s proposal for a reverse split re-peg is a unique and innovative solution that could help the Terra Classic community achieve its goals. If the proposal is successful, it could pave the way for LUNC to reach $1 and beyond.
While there is no guarantee that LUNC’s anticipated recovery, the reverse split re-peg, and other initiatives underway give the community a real chance of achieving this goal.