Cryptocurrency

LUNA Classic pumps 70% on ambitions to wipe the past, revive the chain

LUNA Classic (LUNC) is up 70% from its August 20th low following the implementation of plans to revive the ailing network.

The purpose of the original Terra Luna token was to absorb the price deviation of the UST stablecoin. But following his UST depeg in May, Terra Luna lost more than 99.9% of his value.

New brands have been added recently in an attempt to distance themselves from the past after rebranding. staking When token burning It’s clear that developers are taking aggressive steps to try and win back investors.

LUNA Classic Analysis

Following the troubles of the Terra chain, founder Do Kwon’s proposal to fork the chain and create Terra LUNA was accepted by the community. The first of his LUNA genesis blocks came out on his May 28th.

Meanwhile, the existing Terra Chain will be rebranded as LUNA Classic (LUNC) and will work with the original code from the Terra ecosystem. But more importantly, it was handed over to the community for development and governance.

It looks like Dogwon is gone, but LUNA Classic still carries the burden of what happened in the past. And for better or worse, it is associated with its past.

However, recent price action suggests that investors are willing to forgive and move on. Over the last 30 days, LUNC is up 54% in value, up 70% from its local bottom on August 19th.

Current prices are still a fraction of all-time highs, but the revival plan seems to be gaining interest among the investment community.

How will LUNA Classic attract new investors?

Token staking started as part of LUNC’s v22 network upgrade. According to the latest post from @LuncStaking_Botas of August 30, over 402 billion tokens have been staked, representing almost 6% of the supply.

Since staking started on August 27th, @LuncStaking_Bot It showed that 182 billion tokens, or 2.6% of the supply, were staked. This means that the token holder increased his staking by 120% in 3 days.

according to Staking reward, with an average annualized reward rate of 37.8%, which is one of the highest staking payouts available. But unsustainable yields can be tricky, especially during times of tight liquidity.

Additionally, the developers are also introducing token burning to increase scarcity.of LUNC Burner To date, more than 3 billion LUNC tokens have been taken out of circulation, according to the website.

Posted In: Terra, Analysis

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