Binance CEO Proposed New LUNC Token Burn Feature:
The feasibility on the sustainability of the Terra ecosystem has been a threat to investors, especially after the Luna Fiasco.
However, during a recent ask-me-anything (AMA) session conducted on Twitter Space, Binance CEO Changpeng Zhao opined the idea of implementing a feature where Luna Classic (LUNC) could option for a 1.2% trading fee in order to burn tokens.
In this way, the community would be able to vote with its feet, according to CZ.
As pleasing the proposal was, it was still thwarted by renowned Crypto proponents.
FatMan, a social media influencer and self-proclaimed Terra whistleblower, criticized the proposed feature, claiming that it is “pretty silly.”
In his claims, he explained that those who actually want to permanently remove tokens from the circulating supply would be able to do so voluntarily by sending them to the burn address.
“To be honest, most of these people want *others* to burn. They won’t burn themselves,” he explained.
Nevertheless, the proposal was successfully implemented on Sept. 21 for all on-chain transactions.
The tax burn is expected to reduce the total supply of the LUNC token to 10 billion.
On Sept. 16, Binance announced that the 1.2% tax burn for LUNC and USTC deposits and withdrawals would be subjected to a 1.2% tax burn fee.
The proposal and the implementation made LUNA token surge in price before it was interrupted by Terra’s Do Kwon saga – arrest warrant placed on him by the South Korean court.