- Community division – 45% for, 50% against, 5% abstain- results in the failed proposal.
- Token prices slump after rejection – LUNC down 5%, USTC down 7%- reflecting broader crypto market trends.
In a recent turn of events within the Terra Luna Classic community, a pivotal proposal has been rejected, casting a shadow of uncertainty over the fate of the LUNC and USTC tokens. As reported by Coingape at Twitter, this development centers around Proposal 11767, aptly titled Test market swap with mint limiter, which aimed to reintroduce a market swap function with a limiter. Many hoped that this move would breathe new life into the struggling LUNC and USTC tokens, potentially propelling them back to a value of $1.
Despite the potential benefits this proposal carried, the Terra Luna Classic community opted not to give it their seal of approval. The decision culminated in a vigorous debate featuring critical players like the L1 Terra Classic Task Force (L1TF) core development team and the USTC Quant Team. These teams, however, voiced their reservations regarding the reactivation of the market swap limiter, citing concerns related to resource allocation and the existing state of the market module.
The division within the community became apparent in the voting results, with 45% of votes in favour of the proposal, countered by 50% opposing it and 5% choosing to abstain. Of the 38 validators who participated, 17 rallied behind the proposal, including prominent entities such as Interstellar Lounge, Stakely, JESUSisLORD, and TerraCVita. Conversely, 17 validators rejected the proposal, including Allnodes, HappyCattyCrypto, and TCB. Consequently, the proposal failed to meet the essential pass threshold.
In the aftermath of this decision, the token prices experienced palpable repercussions. LUNC witnessed a 5% decline over the past 24 hours, settling at its current value of $0.000056. In contrast, USTC faced a more pronounced slump of over 7%, causing its price to plummet to $0.012.
This rejection coincided with a broader market trend as various altcoins, including Ether, XRP, Solana, Dogecoin, and Shiba Inu, faced a notable selloff. Even Bitcoin, the market’s foremost cryptocurrency, exhibited a slight dip of 0.30% over the past 24 hours, raising concerns about the potential formation of a death cross pattern.
The Terra Luna Classic community’s decision to decline the proposal underscores the intricate challenges and debates surrounding the revival of struggling tokens in the fiercely competitive and volatile cryptocurrency market. The future trajectory of LUNC and USTC now hangs in the balance, prompting investors and enthusiasts to monitor developments within this ecosystem closely.
