Terra Classic (LUNC) Community Receives A Warning Regarding 800M USTC Wallet Blacklisting

The Terra Classic (LUNC) community has received a warning to restrict its take on USTC and LUNC trading positions. The warning came following the recent blacklisting of the 800 million USTC wallet.

The warning urged LUNC enthusiasts to stay cautious while purchasing the token as the supposed wallet blacklisting is not yet effective on the code.

Terra Classic Community Warned To Be While Purchasing USTC And LUNC Coins

Rexyz, an active member of the Terra Classic community, took to the X platform to sound the warning. He claimed that CoinMarketCap's latest posted circulating supply is incorrect.

WARNING
Be extremely careful if you buy USTC/LUNC on the back of the 800m wallet blacklisting and the reduced circulation. This blacklisting has not actually taken place in the code yet, so this reduced supply is NOT correct.
Also there is still no legal document suggesting... pic.twitter.com/88Pq7txnB4

- Rexyz (@RexYellerBelly) October 25, 2023

Notably, the Terra Classic community is considering consolidating both USTC and LUNC. The move focuses on the periodic incineration of the assets as part of its approach to reviving and boosting the assets' valuation. Recently, the community proposed blacklisting a wallet with 800 million USTC coins.

This decision came after several months of deliberations on the possibility of the token-burning mechanism. Through the discussions, some proponents maintained that blacklisting is the right move that would twist the wallet owners.

They argued that such a move could convince the owners to contribute toward the community's revolution of re-pegging the token. Following the proposal's passage, the next move involved implementing the code-tweaking plan, which prompted Wallet to indicate the changes on October 20.

Also, there are further moves concerning updating USTC data on CoinMarketCap. The recent warning from Rexyz contradicts the claims from Vegas, one of the key proponents of the move. Vegas supported the code implementation for the blacklist and data update on CoinMarketCap.

However, Rexyz's warning claimed that the blacklist is yet to take place in the code during the period of his post. While laying more emphasis on his claims, Rexyz mentioned that the blacklist has no accompanied legal document to indicate its legality.

Also, his post reflected the need to be more cautious amid the expectation of massive volatility in the space.While these claims are not yet proven, the massive speculation has rubbed off on USTC.

As of 09:50 AM EST on October 26, USTC traded at $0.0123, reflecting a 24-hour surge of 5.80%. Its trading volume has increased 342.87%, hitting $19.95 million.

Terra Classic Community Puts Efforts On USTC Repeg

The Terra Classic community is determined to facilitate USTC re-peg, aimed to change the overall outlook of the algorithmic stablecoin. Moreover, prominent industry giants such as Binance have supported the crypto asset.

Recall that USTC (formerly UST) had a short-lived reign as a leading algorithmic stablecoin. The token lost its peg of $1 in 2022, triggering a massive loss alongside the fall of the LUNA coin.

CONGRATULATIONS TO @edk208 & $LUNC for proposal 8813 passing!

1.6M $USTC is going to the NEW Terra Grants program!
Will help us vet projects & properly fund with the #LUNC community pool!

RETWEET TO SPREAD THE WORD pic.twitter.com/W7hgxjqMph

- Classy (@ClassyGames_) November 6, 2022

The move on re-pegging USTC is not limited to the token-burning process. The project team had earlier passed Proposal 8813 regarding the issuance of 1.6 million USTC to support the operation of the Terra Classic grant program.

The post Terra Classic (LUNC) Community Receives A Warning Regarding 800M USTC Wallet Blacklisting appeared first on The Tech Report.