Luna Classic (LUNC): a token of the future or a simple hype?

Luna Classic (LUNC) : un jeton d’avenir ou un simple coup de hype ?

While the crypto sphere has been damaged since Fed announcements and struggling to rebound, the LUNC token, formerly called LUNA, no longer seems to be in crisis. After sinking lower than earth, the token has since surged considerably.

A dead token, really?

While at Be[In]Crypto we continued to focus on LUNC token and court cases related to Do Kwonthe price of the token seemed at its worst and dying, at the end of its life.

However, the community seems to have woken up, telling everyone that when it is strong and united, turnarounds are possible. And although unforeseen, in the case of the token LUNA Classicsome investors are now hoping to receive further gains.

By looking at several aspects, one may be tempted to believe that the token is rising from its ashes, seeking to demonstrate that it has several lives to its credit.

The price of the token has been soaring for several weeks, with daily and weekly closes in the green and against what the cryptocurrency market is currently doing. Since mid-August, the LUNC has seen its price increase by +100% while its market cap has done the same.

Indeed, the market cap was duplicated in parallel at the end of August and also exceeded one billion dollars, exceeding in the space of one evening the two billion market cap. A level that had not been reached for a very long time for the asset.

On June 8, the bottom of the market capitalization was reached for the digital asset, with a value of $300 million. The market cap has therefore multiplied by 7 in less than three months, while the cryptocurrency market as a whole has lost capitalization since the same date.

LUNC staking, a successful first step?

First, back to the center of token news. On August 26, 2022, staking on the blockchain globally reopened Terra Classic with seemingly staggering returns (+1% per day), but above all with many validators who have promised to optimize token burn from part of the fees collected by the tokens delegated to them.

Staking, available from Terra Station Walletis currently a process that seems to be unanimous, and sees the number of tokens deposited on the blockchain Terra Classic grow day by day. After 5 days, the staking ratio was 6.63% compared to the entire LUNC supply, i.e. more than 457 billion staked tokens across the Terra Station Wallet. Now it is close to 7%

Luna Classic vs Luna, which one has the most future?

At the same time, the activity that remains within the blockchain Terra Classic can be demonstrated in several ways. Beyond the daily trading volume which remains at interesting levels, the creation of new wallets is very important on the blockchain. Terra Classicwith more than 266,000 new wallets created over the last 30 days, although the token no longer seemed to interest many people.

terra station wallets

If we compare the two blockchains, the one linked to LUNA 2.0 seems rather the one that is approaching its end of life and a break-even point. Since the launch at the end of May, prices have continued to fall, while the market cap struggles to hold on to $200 million, also in freefall. Especially since this token has been consistently frowned upon by the community, right from its inception. On the contrary, all investors – and up to Binance’s CZ – were hoping for a massive burn of LUNC tokens rather than the release of a 2.0 version.

On Twitter, the token that has been on the front line in recent days is indeed the LUNC, which is a trending topic especially in the Business & Finance category alongside the main tokens (Ethereum or other influential figures in the crypto sphere).

Discord within the LUNC community?

However, nothing is ever perfect within the Terra or Terra Classic ecosystem. Indeed, changing the name will not take away from the fact that the reasons that brought about the downfall of UST (now USTC) and LUNC are still unknown, with only guesses to be had.

While the character of Do Kwon is very mixed, accused from all sides on the nefarious protagonist role he would have occupied during the fall of the token last May, seeing validators hailing the character or cheering him on social networks can appear surprising. Even if the whole thing is done with a touch of irony and exaggeration.

Source : Twitter

Since the famous crash, it seems appropriate to take everything related to the ecosystem with a grain of salt, given the difficulty of discerning the true from the false or even the β€œgood” from the β€œbad”. Furthermore, LUNC DAO, the same twitter account that defends Do Kwon and which sought to attract stakers to Terra Stationhas issued several criticisms of validators offering 0% staking fees, arguing that the latter sought to attract stakers before abruptly increasing fees in a discreet way.

But above all, activities related to wallet of the LUNC DAO, closely monitored, have been commented on for sending large quantities of suspicious tokens. The discord is internal to the community, since it is a twitter account reporting the burns of LUNC which notified the LUNC DAO directly, asking for concrete explanations for more transparency.

Source : Twitter

Although the golden era of the token seems distant, with at the time an ATH above $100 and a capitalization of more than $40 billion, the LUNC seems however to be able to promise some surprises to its investors, despite the discord internally, particularly at the dawn of the implementation of a massive burn scheduled for September 12.

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