TerraUST and LUNA crashed to $0 last week as they plummeted 100% in just a span of 3-trading days. Its UST got depegged 1:1 from the USD and nosedived to near-death as it headed to $0. The crypto market is still picking the rubbles from the dramatic crash and investors are wrapping their heads to understand what just happened.
Terraform Labs founder Do Kwon suggested to ‘Hard Fork’ Luna create a new chain without bridging it to algorithmic elements. However, the community is divided on the prospects and has asked Do Kwon to ‘Burn’ LUNA tokens instead.
Read More: Old Video Resurfaces of Do Kwon Saying Terra Has A ‘Kill Switch’
Preliminary votes show 92% of users were against LUNA ‘Hard Fork’ and only 8% were in favor of the Fork. However, the final governance vote, which is still ongoing took a complete u-turn. At present, 66.03% of votes are in favor of the LUNA ‘Hard Fork’ while the others are not. The voting will end on May 25 and suggests that Do Kwon might have his way and Hard Fork LUNA.
Do Kwon Addresses Terra LUNA ‘Burn Wallet’
Terra LUNA has a circulating supply of 6.5 trillion at present and is highly unlikely the numbers will reduce anytime soon. Many investors have been sending LUNA to the ‘Burn Wallet’ address in the hopes of reducing its circulating supply. Do Kwon confirmed that sending LUNA to the ‘burn wallet’ does nothing and investors will only lose their money and tokens.
“To clarify, as I’ve noted multiple times I don’t think sending tokens to this address to burn tokens is a good idea – nothing happens except that you lose your tokens. Want there to be no confusion whatsoever,” he tweeted.
Read More: Can Terra Founder Do Kwon go to Prison in the U.S?
A user confronted him saying, “Then why tweet the address out again?”. Kwon replied saying that he sent out the ‘burn address’ as people “kept asking” for it.
“People kept asking for the burn address – happy to provide for information purposes but want to clarify that you should not burn tokens unless you know what you are doing – I for one cannot understand,” he said.
Read More: Terra Validator Slams Do Kwon’s ‘Dictatorship Model’ on LUNA Fork Vote
It is advised to not send LUNA to the mentioned ‘burn wallet’ as it does little to reduce its circulating supply. At press time, Terra LUNA was trading at $0.00018747 and is up 15% in the 24-hours day trade.