On Thursday, the world’s largest crypto exchange Binance said that a 1.2% gas fee burn event will be available for Terra Classic (LUNC) and TerraClassicUSD (USTC). However, token burn will not be available for spot and margin trading for LUNC and USTC, and Binance Earn services.
Binance approves 1.2% gas burn for on-chain activities
In an official announcement on September 8, Binance finally announced its support for a 1.2% gas fee burn. The crypto exchange will review and change the minimum withdrawal amount, maximum withdrawal amount and withdrawal fees for Terra Classic (LUNC) and USTC over the Terra Classic network. According to the blog post Binance shared during the day:
The Terra community passed Proposals 3568 and 4159, which will bring 1.2% gas burn for transactions of LUNC and USTC on the Terra Classic network.
The Community will vote on the 1.2% Tax Parameter Change proposal on 10 September. If accepted, the changes will be implemented on September 20.
LUNC and USTC deposits and withdrawals will be impacted on Binance. At the time of deposit, the Terra Classic network will deduct 1.2% tax and the balance will be credited to the user’s account. During withdrawals, users will receive the amount after deducting the withdrawal fees by Binance and the 1.2% tax withheld by the network.
However, the tax burn will not apply to spot and margin trading for LUNC and USTC. Also, staking, savings, etc. It will not affect Binance Earnings services.
The Terra community was waiting for gas burn campaigners in LUNC and USTC transactions. Now the community is dissatisfied with Binance and its CEO “CZ” for not listening to the community.
Validator LUNC DAO believes that Binance’s decision will cause people to stop trading on Binance. TerraRebel believes that the Terra community provides over $2 billion in daily trading volume on the exchange. The crypto exchange “made a lot of transaction fees and profits” from it.
Earlier today, Binance also announced that it added the LUNC/USDT trading pair on September 9 at 11:00 am.
LUNC community targets $0.01
Terra Classic (LUNC) price has risen significantly as a result of burning, staking, governance and project creation. The daily trading volume on LUNC has grown to over $3.5 billion. The community is aiming to reach $0.01 in the short term after successfully reaching the target of $0.0005.
Currently, crypto exchanges such as MEXC Global, KuCoin, Gate.io, and CoinInn have expressed their support for the 1.2% tax cut. The community hopes that Binance will soon announce a 1.2% gas burn rate on off chain transactions.
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