#USDT The USTC-LUNC burning plan is a community-driven initiative aimed at reducing the supply of LUNC and increasing its value. It involves the burning of LUNC tokens using USDC, which is then distributed to LUNC holders.
Here's a breakdown of the plan:
1. USTC-LUNC Burn Pool:
* A pool of USDC is created, which is used to purchase LUNC tokens from the market.
* The purchased LUNC tokens are then burned, permanently removing them from circulation.
2. LUNC Holder Rewards:
* LUNC holders who stake their tokens in the Luna Classic staking pool are eligible to receive a portion of the USDC used to purchase LUNC tokens.
* The rewards are distributed proportionally based on the amount of LUNC staked.
3. Burning Schedule:
* The burning schedule is determined by the community through voting.
* The frequency and amount of LUNC burned can be adjusted based on market conditions and community preferences.
4. Transparency and Accountability:
* The burning process is transparent, with all transactions and distributions publicly visible on the blockchain.
* A community-governed DAO (Decentralized Autonomous Organization) oversees the burning process and ensures that it is carried out fairly and efficiently.
It's important to note that the success of the USTC
-LUNC burning plan depends on several factors, including community participation, market conditions, and the effectiveness of the governance mechanisms. While the plan has shown some positive results in reducing the LUNC supply, it's still a work in progress, and its long-term impact remains to be seen.