According to Cointelegraph: The Terra Classic community has elected to discontinue all minting and reminting of TerraUSD Classic (USTC) tokens, in a bid to restore stability between USTC and the US dollar peg. In a recent poll, 59% of community members voted in favor of halting USTC minting, whereas about 40% opposed the move.

Terra Classic poll results. Source: Atom Scan

This decision is aimed at protecting the interests of the community and external investors by shrinking the supply of USTC, thus helping to achieve re-pegging to the US dollar. Previous disruption in this stability led to a de-peging of USTC in May 2022, sparking a severe collapse for Terra and Luna Classic (LUNC), which is closely linked with USTC. This resulted in an almost 100% drop in LUNC's value and led to a wider downturn in the cryptocurrency market, erasing nearly $40 billion in total market capitalization.

The voting outcome will also pave the way for significant cryptocurrency exchanges to start burning USTC. "This proposal opens the door for institutions like Binance to start burning USTC knowing that the minting and reminting is over," the statement noted.

This comes as the Terra Classic community is also addressing issues such as spam increase, following lowered LUNC prices. They are in the process of voting on several proposals, one of which includes raising the minimum deposit requirement, with the majority favoring the increase.