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Binance, the world’s largest crypto exchange, recently burned over 4 billion Terra Classic (LUNC) tokens, reigniting hope in the revival plan and a potential push to $1.
The burn, which occurred on April 1, represents the exchange’s commitment to bolstering the Terra Classic revival campaign. Data from Terra Finder confirms that the exchange incinerated exactly 4,175,855,418 (4.17 billion) LUNC worth $585K+ at current prices.
This figure represents 50% of the fees accumulated by Binance on Terra Classic trades for the month of March, as promised by the leading exchange. Recall that Binance pledged to burn 50% of its LUNC trading fees every month in support of the burn campaign and the revitalization plan.
Binance Sustains Terra Classic Burns
Despite its legal issues with U.S. authorities and the resignation of former CEO Changpeng “CZ” Zhao, Binance has continued to keep to this promise. Notably, the recent 4 billion burn follows a previous 2.21 billion burn transaction carried out by the platform on March 1.
Interestingly, the exchange has promptly kept to its word throughout this year, with the first two burns occuring at the scheduled time. Binance incinerated 5.57 billion LUNC on Jan. 1 and 2.095 billion tokens on Feb. 1. Cumulatively, Binance has now burned over 14 billion LUNC currently priced at $1.96 million.
The exchange has solidified its spot as the biggest Terra Classic burner, with the latest burn transactions bringing its total burns to 57.66 billion since the start of the burn campaign. Notably, the total LUNC burned by all entities has now increased to 114 billion, with Binance accounting for 50% of all burns.
Meanwhile, despite the massive 4 billion burn on April 1, LUNC followed the bearish path of the broader crypto market, collapsing by as much as 5.59% in a major intraday slump. Terra Classic witnessed another drop on April 2, resulting in a subsequent 8.65% collapse.
LUNC to $1: How Feasible?
LUNC eventually slipped below the $0.00015 price territory, further dampening any hope of a revival move. Notably, the Terra Classic community has continued to push the narrative of a potential rejuvenation for the Terra Classic ecosystem, which could see LUNC rise to $1.
The token burn campaign is at the center of this rejuvenation plan, given that Terra Classic’s collapse in May 2022 was due to a massive unprecedented inflation surge. Interestingly, the community insists that a massive and sustained burn campaign could reduce the token’s circulating supply enough to bolster its chances of reaching $1.
However, at the reporting time, LUNC still has an extensive circulating supply of 5.82 trillion. Despite Binance’s generous contribution, it could take years for the campaign to deplete this supply. At this point, the community would need an unprecedented burn event to reach its goal.
Terra Classic currently trades for $0.0001401 at the reporting time, up by a meager 1% this year despite the rest of the market experiencing an impressive uptrend amid the bull run. LUNC would need to rally by 713,675% from its current position to reach $1.