Terra Tokens

Terra Ecosystem’s LUNC, LUNA, and USTC Surges Following Proposal of Repeg Plan


Date: Sat, Sept 14, 2024, 05:24 PM GMT

In today’s cryptocurrency market, Terra tokens, including Luna Classic (LUNC), Luna (LUNA), and USTC, saw impressive price jumps following a new proposal aimed at re-establishing the peg of USTC to the $1.

A former member of the Terra Rebels developer group, Vegas Morph, has put forward a detailed plan to repeg USTC. This proposal comes after previous attempts failed to deliver positive results for the Terra Luna Classic community.

In a recent Medium post, Vegas Morph outlined a series of changes needed to reactivate the market module safely. These steps, he claims, will help USTC regain its dollar peg. The key points of the proposal include:

  1. Oracle Integration: A new oracle module is essential for providing real-time price feeds for USTC.
  2. Burn and Allocation Strategy: The burn rate should be set at 20% of the fee, with 20% allocated to the Oracle Pool and 60% directed towards a pool designed to maintain the peg.
  3. Liquidity Pool Limits: Introducing virtual liquidity pools with size limits and conditional activation steps.
  4. Supply Cap: Imposing a hard cap on the supply of both LUNC and USTC to prevent unwanted token minting.
  5. Kill Switch: Adding a kill switch to disable the module if necessary.
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Reacting to the news, the price of Terra tokens experienced a noticeable boost. LUNC surged by 4.86%, LUNA rose by 8.01%, and USTC saw an 8.33% increase. The market’s response signals growing optimism that the new repeg plan could bring positive change to the Terra ecosystem.

TERRA TOKENS Prices
Source: Coinmarketcap

As more details emerge, all eyes are on how the community and developers will collaborate to move forward with this proposal.


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