LUNC Soars 100% Weekly as Binance, KuCoin, Gate Io Extend Tax Burn Support:
Despite the red paintings on Terra ecosystem tokens, LUNC has managed to turn things in its favor to win the upside.
The plans on Terra chain revivals continues to attract investors back to the project.
The latest surge of more than 100% over the past week follows after its tax burn confirmation.
What is this Tax proposal about?
The tax proposal seeks to carry out a 1.2% token burn tax on all on-chain transactions, in a bid to transform LUNC into a deflationary asset.
This means that taxes will be charged and burned for blockchain activities, including transfers of LUNC and USTC between wallets and smart contracts.
If this tax deal is passed by Terraform Labs (TFL), the 1.2% tax burn will be activated by September 20.
On the other hand, if the proposal fails along the line, the new Dev team – Terra Rebels – will offer an unofficial website, desktop app, and mobile app to facilitate tax burns.
However, KuCoin, in it’s latest announcement, noted that its services with LUNC and USTC will remain unaffected even if the community fails to approve the proposal.
The Seychelles-based crypto exchange has advised users to deposit all Terra Classic tokens to avoid increased deposit fee costs.
“KuCoin will support the 1.2% tax burn when the proposal is officially approved and implemented on Terra Classic (LUNC) mainnet. Services on KuCoin will remain unchanged if the community does not approve the proposal.”
Binance confirms support for Terra Luna Classic (LUNC)
World’s largest crypto exchange, Binance, has also announced its support for the Luna tax burn.
According to Binance;
Deposits: Transactions will be taxed by the Terra Classic network before it reaches Binance. The balance will be credited to your Binance account after the 1.2% tax deduction by the network.
Withdrawals: Users will receive the withdrawal amount minus withdrawal fees charged by Binance and the 1.2% tax deduction by the network.”