thecryptobasic.com
Prominent Terra Classic (LUNC) community figure and TerraCVita team member Rexyz questions LUNC’s $120 goal and suggests burning 99.9% of LUNC supply for $1.
According to CoinMarketCap, Terra Classic (LUNC) is up 13% in its cumulative seven-day price performance. The data shows crypto market participants traded 323.66% more LUNC in the last 24 hours.
This increased trading activity has pushed LUNC price to $0.00006508 with an 8% gain amid the broader passive crypto market.
While the LUNC community anticipates further significant price gains for the asset, Rex “Rexyz” Harrison, a prominent community member, has taken to X to provide a candid assessment of LUNC’s prospects.
Rexyz first argued with the improbability of LUNC ever reaching the ambitious price target of $120, representing the all-time high of the ill-fated LUNA 1.0. He also noted that even reaching a $1 price could require a formidable community effort.
According to Rexyz, “the chances of LUNC reaching $120 are massively low and next to impossible.”
🚨Reality Check⬇️
The chances of $LUNC reaching $120 are massively low and next to impossible, and to reach $1, 99.9% of supply needs burning or staking, and #TerraClassic would still need a mktcap of $6.9bn.
Taking 90% out of circulation combining staking and burning may be… pic.twitter.com/jnKh2evlrS
— Rexyz (@RexYellerBelly) September 27, 2023
99.9% of LUNC Supply Must Burn to Reach $1
While Rexyz sees $120 as impractical, he highlighted conditions for the community to attain $1. He mentioned that 99.9% of LUNC’s circulating 5.8 trillion supply needs to be eliminated via burning or staking to attain $1.
This assertion underscores his skepticism regarding even a rally to $1. Additionally, Rexyz highlighted Terra Classic’s market capitalization would need to reach $6.9 billion from the current $374.12 million.
Furthermore, he noted that achieving a 90% reduction in circulation might be feasible through a combination of staking and burning. However, he acknowledged that the effort would still have 690 billion LUNC tokens in circulation.
Meanwhile, Harrison stated that such a formidable feat could guarantee LUNC a $0.01 price tag. Mathematically, LUNC at $0.01 implies a 15,269.87% growth from the current price.
Besides, Rexyz mentioned that despite ongoing efforts, burning USTC tokens has made only minimal progress in reducing the supply overhang. He also stressed that burning LUNC itself has not significantly reduced the price. In his words:
“We currently have about 15% staked, and despite [the] concerted effort, burning has barely up to now dented the supply.”
As a solution to LUNC reduction, Harrison proposed the creation of a swap mechanism, such as LUNC – USTC2.
Terra Classic Urged to Be Valuable
Meanwhile, Rexyz emphasized the need for the LUNC ecosystem to be relevant and genuinely attractive. Moreover, he stressed the need for it to be easy to build on and welcoming to developers and users.
According to Rexyz, providing comprehensive guides, manuals, documentation, and assistance to facilitate the growth of the LUNC community are a few of the paths to becoming valuable and attractive.
Also, Harrison advocated for LUNC to position itself as the central hub of the Cosmos system. He urged the community to embrace a multichain future and learn from successful projects.