The Terra Luna Classic community has opted against burning 8 million USTC, choosing instead to allocate funds towards development and liquidity. Despite the rejection of the proposed burn, both LUNC and USTC are experiencing price declines in the volatile market.
Significant validators within the Terra Luna Classic network voted against the USTC burning initiative, emphasizing the need for more efficient resource management. A recent proposal to burn 8 million USTC, a stable currency within the Terra ecosystem, aimed at advancing chain development, was met with disapproval. Remarkably, this marks the third instance in which the community has dismissed a USTC burning proposal.
The rejection prompts the question: what significance does this decision hold? The proposal, designed to diminish the circulating supply by burning 8 million USTCs from the community pool, has been discarded. As a cryptocurrency enthusiast, you may be wondering about the reasons behind the community’s choice.
The proposal, named “Burn 8 million USTC directly from CP,” intended to eliminate all USTC in the community pool by sending them to a burn address. However, the rejection stems from influential validators like Interstellar Lounge and Lunanauts, who voted against it, advocating for the utilization of funds in other developmental avenues and supporting liquidity on various projects.