Burn

Terra Classic

Impact

Terra

Rewards

<ul> 
 <li><strong>The Terra Luna Classic community has passed proposal 12114, significantly revising the LUNC burn tax distribution.</strong></li> 
 <li><strong>Over 98% of the community voted in favor, indicating strong support among key validators.</strong></li> 
</ul>  
<p>The Terra Luna Classic <a href="https://www.crypto-news-flash.com/terra-luna-classic-community-approves-major-lunc-fund-proposal/">community</a> has decisively approved proposal 12114, aimed at revising the LUNC burn tax distribution. Authored by developer Till Z., known as Fragwuerdig, the proposal received a staggering 98.04% approval from the community.</p> 
<p>This strategic change is set <a href="https://www.crypto-news-flash.com/terra-luna-gains-momentum-with-15m-capital-boost-from-terraform-labs/">to enhance staking rewards</a> and improve long-term incentives for validators, despite a potential slight decrease in Annual Percentage Rate (APR) for users. The new distribution model is scheduled for implementation in mid-July.</p> 
<h2 id="strong-community-and-validator-support-strong"><strong>Community and Validator Support</strong></h2> 
<p>As highlighted in <a href="https://www.youtube.com/watch?v=D6-bNWQNPec" target="_new" rel="noreferrer noopener">Today’s CNF YouTube video</a>, the proposal’s overwhelming support came from prominent validators including Allnodes and HappyCattyCrypto. This shows a robust consensus within the community, underscoring the trust and agreement on the new tax structure.</p> 
<p><iframe title="Terra Luna Classic (LUNC) Community Overwhelmingly Approves Revision of Burn Tax Distribution" width="788" height="443" src="https://www.youtube.com/embed/D6-bNWQNPec?feature=oembed" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen></iframe></p> 
<p>The revised allocation of the 0.5% burn tax includes 10% for the Community Pool and another 10% for the Oracle Pool, affecting immediate block rewards but boosting long-term staking rewards.</p> 
<h2 id="strong-impact-on-rewards-and-validator-incentives-strong"><strong>Impact on Rewards and Validator Incentives</strong></h2> 
<p>Previously, CNF reported that <a href="https://www.crypto-news-flash.com/terra-luna-classic-rejects-burn-tax-increase-proposal-lunc-price-rises/">a proposal to increase the burn tax to 1.5% was rejected by the community due to significant opposition</a>. Currently, the LUNC burn tax remains at 0.5%, with 80% dedicated to burning and 20% previously split equally between the Community Pool and rewards.</p> 
<p>The approved proposal reassigns the 20% to equally benefit the Community Pool and the Oracle Pool. This reallocation will likely modify the immediate block rewards landscape for LUNC users, directing more towards sustaining long-term staking rewards. While validators are expected to benefit from this shift, the APR might experience a slight decrease of around 0.5%, contingent on on-chain transaction volumes.</p> 
<h2 id="strong-market-perspective-strong"><strong>Market Perspective</strong></h2> 
<p>According to the latest updates from the coin market, Terra Classic (LUNC) is currently trading at <strong>$0.00009303</strong>, marking a <span style="color: #ff0000;"><strong>9.66%</strong></span> decline over the past week. This pricing reflects the market’s reaction to ongoing developments within the Terra Luna Classic ecosystem.</p> 
<p><span data-sheets-root="1" data-sheets-value="{&quot;1&quot;:2,&quot;2&quot;:&quot;&quot;}" data-sheets-userformat="{&quot;2&quot;:513,&quot;3&quot;:{&quot;1&quot;:0},&quot;12&quot;:0}"></span></p>
<div class="cryptoboxes" id="mcw-431029" data-realtime="on">
 <div class="mcw-chart mcw-chart-light" data-font="inherit" data-coin="terra-luna" data-symbol="LUNC" data-currency="USD" data-rate="1.000268" data-type="chart" data-view="day" data-theme="light" data-smooth="true" data-areacolor="" data-bgcolor=""></div>
</div> 
<p>By revising the burn tax distribution, Terra Luna Classic aims to fortify its <a href="https://www.crypto-news-flash.com/blockchain-powerhouse-terraform-labs-expands-reach-with-pulsar-finance-acquisition/">blockchain infrastructure</a> and provide better financial incentives for both validators and the broader community, ensuring sustainable growth and robust governance in the ecosystem.</p>

Terra Luna Classic (LUNC) Community Votes Overwhelmingly for Burn Tax Distribution Revision

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