您现在的位置是:Terra (LUNA) price fluctuates after Terra votes to burn $4.5B worth of tokens >>正文
Terra (LUNA) price fluctuates after Terra votes to burn $4.5B worth of tokens
上海品茶网 - 夜上海最新论坛社区 - 上海千花论坛229人已围观
简介The price of Terra (LUNA) nearly reached a record high on Wednesday after immediately Terra voted to...
The price of Terra (LUNA) nearly reached a record high on Wednesday after immediately Terra voted to burn tokens worth $4.5 Billion. However, it later turned red following a rise in market volatility.
At the time of writing, the LUNA price was up 1% after correcting the short dip.
Increasing market demand through burning
Decreasing supply sparks market demand and this is what is supposed to happen, therefore Terra voted to burn a sizeable percentage of tokens
The community is charged with maintaining the LUNA utility token protocol and terraUSD stablecoin developed by Terraform Labs.
Terraform labs developed token protocol and terraUSD stablecoin for the community to maintain LUNA utility.
The community on Tuesday voted to burn 89 million LUNA tokens worth about $4.5 billion.
After Terra co-founder Do Kwon proposal was approved, the token price shot up from $50 to beyond $54 coming close to its all-time high of $54.77 before the crypto price broke down.
The price dropped to 14% in a few hours with LUNA leveling off to around $48 and a market cap of $23.5 billion.
LUNA token burn
LUNA is a utility token for decentralized applications built on the Terra blockchain.
One of the primary uses of LUNA is to maintain a 1.1 peg with Terra’s algorithm stablecoins and is burnt when stablecoin demand increases.
It is anticipated that the value of LUNA will rise higher after the successful vote to burn LUNA tokens worth over $25 million was taken out of circulation and the remaining 88+ million to be burned in the next two weeks.
The plan laid by the Columbus-5 network upgrade changed how and when Terra burns tokens.
Instead of transferring LUNA to a community pool, LUNA will be used to mint the Terra stablecoin which would be permanently burned.
Terra's burning strategy isn't new, Ethereum also had luck burning its coins. London hard fork in August carried out EIP-1559, a measure that redirects transaction fees away from the miners that validate transactions and into an inaccessible wallet, in this process, the ETH is effectively destroyed.
After the deflationary measure, the price of Ethereum has increased by over 60%, hitting fresh record highs all the way. Terra users are also hoping for similar returns.
Tags:
转载:欢迎各位朋友分享到网络,但转载请说明文章出处“上海品茶网 - 夜上海最新论坛社区 - 上海千花论坛”。http://www.jz08.com.cn/news/547829.html
相关文章
KuCoin Pool launches to bring consistent earnings to miners
Terra (LUNA) price fluctuates after Terra votes to burn $4.5B worth of tokensThe new Proof of Work mining pool provides mining fee discounts to miners who use renewable energyCr...
阅读更多
BTC, XRP and DOGE up by more than 5% each
Terra (LUNA) price fluctuates after Terra votes to burn $4.5B worth of tokensThe cryptocurrency market has been in a bearish mode since the start of the week but has recovered e...
阅读更多
Grayscale hires LaValle to bolster its ETF team
Terra (LUNA) price fluctuates after Terra votes to burn $4.5B worth of tokensCryptocurrency asset manager Grayscale has confirmed the hiring of ETF expert David LaValle to head...
阅读更多
热门文章
- South Korea: $470B vision for world's largest chipmaking hub
- Riot Blockchain records 1,500% increase in BTC revenue
- Aeromao's fixed
- Conflux to Bring Uniswap v3 and Curve to China's Public Blockchain
- NASA to 'wiggle' Ingenuity's wings to assess damage
- Tornado Cash price down 3% even as Binance resumes TORN deposits
最新文章
Here's why Render Token (RNDR) price is rising
3 German computer scientists bringing scalability to Bitcoin using zk
Valkyrie files for a BTC futures ETF
Where to buy Vabble as VAB rises by 94%
Alchemy Pay tokens up 140%: here is where to buy them
Synthetix adds 7 new perpetual futures markets, SNX price up