Leading cryptocurrency exchange Binance has announced it will support the latest Terra Classic ($LUNC) network upgrade, which is set to take place at epoch 15,029, and will set seigniorage rewards on the network to 0%.<\/p>\n
According to an announcement the cryptocurrency exchange published, deposits and withdrawals for $LUNC, $USTC, and $ANC via the Terra Classic network will be suspended early January 14, at 03:50 UTC, with the network upgrade set to take approximately three hours.<\/p>\n
The exchange added it will handle \u201call technical requirements involved for all users holding LUNC, USTC, and ANC in their Binance account,\u201d and will review and adjust withdrawal fees on the Terra Classic network \u201cin accordance with market conditions\u201d when applicable.<\/p>\n
Binance will then reopen deposits and withdrawals once it deems \u201cthe upgraded network to be stable,\u201d without sending users a notification informing them of the move.<\/p>\n
The original Terra ecosystem collapsed earlier this year and later rebranded to Terra Classic, while a new, forked blockchain took the Terra brand with it. When\u00a0Terra\u2019s ecosystem collapsed, its circulating supply jumped from 340 million tokens to 6.9 trillion, and to combat the inflation $LUNC supporters have added a 1.2% tax burn on all transactions conducted on the network.<\/p>\n
Binance has been supporting the network\u2019s token burns, and in its third batch of burns it destroyed\u00a02.5 billion tokens, permanently removing them from circulation in a single transaction. According to\u00a0information\u00a0from Binance\u2019s pages, at the time of the burn, the $LUNC tokens were worth nearly $660,000 and were burned as a response to the $LUNC community\u2019s proposal on burning trading fees on-chain.<\/p>\n
Terra Classic\u2019s new upgrade is set to deprecate the Seigniorage Reward Policy, in a bid to stop burnt $LUNC from being reminted and to quintuple network gas fees in a bid to \u201ccapitalize the Community Pool and increase Validator\/Staking Rewards.\u201d<\/p>\n
The cryptocurrency\u2019s community approved a proposal deprecating the seigniorage reward as it has \u201cbecome a pretty defunct source of funding for the CP [Community Pool], and is causing more harm than benefit to the community.<\/p>\n
As reported, the Terra Classic community, has been battling for increased adoption and even created a\u00a0petition to get listed on cryptocurrency exchange Coinbase.<\/p>\n