Legally Absolved Route To Burn 800 Million USTC For Terra Classic Revival

LUNC News: Terra Luna Classic community contemplating to burn 800 million USTC stablecoins again. A validator suggested a legally possible route to burn 800 million USTC from the Terra Luna Classic treasury, held in the Risk Harbor Multisig Wallet through a contract. The burn narrative picks pace amid a significant plunge in LUNC and USTC prices.

Terra Luna Classic Community To Burn 800 Million USTC

Terra Luna Classic validator Lunanauts expressed concerns about the legal repercussions of proposal 11913. The proposal aims to burn the 800 million USTC still in the Risk Harbor multisig wallet via an update to Terrad client.

The validator believes initiating the burn of 800 million USTC from the Luna Classic treasury using a simplified contract. The Terra Luna Classic community was notified that Risk Harbor lost the keys and has agreed to blacklist the wallet. Thus, the community plans to burn instead as no fund recovery via the wallet owners is possible and blacklisting serves no purpose anymore.

Core developer needs to create a contract with a sole MsgSend to transfer all holdings to burn address. The multisig contract is then migrated via governance to that code id. It eliminates the need for validators to install any code, minimizing legal implications.

Read More: Terra Luna Classic Votes On 800 Million Burn Proposal For LUNC & USTC Rally

Why 800 Mln Burn News Is Crucial for LUNC and USTC?

The Terra Luna Classic community burning massive amounts of tokens to reduce the supply and revive the Terra ecosystem tokens. While several community-led efforts to revive LUNC and repeg USTC are still under progress, 800 million USTC burn could help trigger enough push. LUNC and USTC will recover again, similar to the recent 300% and 400% rally in the last few weeks.

LUNC price fell 4% in the past 24 hours, with the price currently trading at $0.000171. The 24-hour low and high are $0.000164 and $0.000181, respectively. Moreover, trading volume has further decreased in the last 24 hours.

Meanwhile, USTC price trades at $0.0400, down over 1% in the last 24 hours. The 24-hour low and high are $0.0372 and $0.0410, respectively.

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Varinder has 10 years of experience in the Fintech sector, with over 5 years dedicated to blockchain, crypto, and Web3 developments. Being a technology enthusiast and analytical thinker, he has shared his knowledge of disruptive technologies in over 5000+ news, articles, and papers. With CoinGape Media, Varinder believes in the huge potential of these innovative future technologies. He is currently covering all the latest updates and developments in the crypto industry.

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