• LUNC staking reaches $975 million, 14.23% of the circulating supply is now staked.
• The community is voting on a 0.5% tax burn proposal.
• The network validator has raised objections to the proposal, arguing that whales won’t be interested in trading with a higher burn tax.
LUNC Staking Reaches All-Time High
LUNC reaches an all-time high year after the crash as staking reaches $975 million or 14.23% of all $LUNC circulating supply. This comes just a week after the LUNC community voted for parity proposal #11511 to onboard Terra 2.0 dApps onto LUNC, signalling increased interest in the network and reduced circulating supply in the market that could help maintain LUNC’s price over time.
Parity Proposal #11511
The Terra Luna blockchain community recently put up a parity proposal #11511 to onboard Terra 2.0 dApps onto LUNC, which garnered 41% voter approval so far even though there have been strong objections from some members of the community, including network validator Mr Diamond Handz who argued that whales wouldn’t be interested in trading $LUNC with a higher burn tax.
Split Over Tax Burn Proposal
The 0.5% tax burn proposal has split the LUNC community into two camps – those who support it and those who oppose it due to concerns about whales not being interested in trading with a higher burn tax rate . Nevertheless, 41% of voters agree with the proposal for now but further discussions are needed before any consensus is reached on this issue.
Impact On Price
Despite objections by some members of the community, if approved, this 0.5% tax burn proposal could significantly reduce circulating supply and help maintain LUNCs price over time by incentivizing whale traders to enter into long term positions instead of taking quick profits and exiting immediately after acquiring their position at low prices.
Conclusion
The recent spike in $LUNCs staking ratio can serve as an indicator for increasing interest and trust in its network core infrastructure as well as provide bullish sentiment for its price over time if approved by majority vote; however further talks need to happen among members of the community before any consensus can be reached on this issue .