The former stablecoin TerraUSD (UST), also known as TerraClassicUSD (USTC), and Luna Classic (LUNC), have seen a price pump over the past 7 days, with UST rising over 470% and LUNC over 96%.
Terra: the new USTC and LUNC tokens register price pumps
In this past week, the former stablecoin of TerraUSD (UST), also known as TerraClassicUSD (USTC), and Luna Classic (LUNC) recorded big price pumps. UST rose 472.4%, while LUNC rose 96.3%.
Something mysterious, but also possible in the crypto world, where assets given up for “dead” could instead “resurrect”.
Indeed, in the case of UST, after its 1:1 peg to the US dollar broke, the former stablecoin saw a collapse in its price, which hit a low of $0.006 on June 18, 2022.
In the past 7 days, however, the price of UST has risen from $0.011 to the current $0.044, peaking at $0.090 on June 29, 2022.
On the other hand, LUNC, the new name for Luna Classic because Terra’s new token is called LUNA, has seen its price rise from $0.000057 on June 26 to $0.00016 yesterday, to be at the time of writing $0.00011.
Terra Classic and the proposed 10% universal minimum fee to validators
The price pump over the past 7 days for Terra tokens is also a signal that the community is still active, as are its validators.
Just yesterday, a governance proposal was introduced that would give validators a 10% universal minimum fee.
One validator in particular, named LUNC DAO, told his 29,000 Twitter followers that he was against the 10% minimum fee.
1/ It's been interesting to observe how much envy certain $LUNA validators have displayed towards us lately
They are now proposing to set a universal minimum commission of 10%— meaning all validators receive this, even if they bring NO value to the community
This is disgusting
— 🕊️🔥 𝕃𝕌ℕℂ 𝔻𝔸𝕆 🔥🕊️ (@LUNCDAO) June 30, 2022
“It’s been interesting to observe how much envy certain $LUNA validators have displayed towards us lately They are now proposing to set a universal minimum commission of 10%— meaning all validators receive this, even if they bring NO value to the community. This is disgusting”.
Currently, 37.04% voted in favor of the proposal and 24.80% said no to the idea. Meanwhile, the new Terra token (LUNA) has seen a pump of only 7%, but against a last month decline of 76.6%.
Manipulation of exchange prices and DeFi
Recently, it emerged that Terra Labs may own $3.6 billion in Tether (USDT) and TerraUSD (UST) tokens used for exchange price manipulation and DeFi, or money laundering.
The news is still under review by authorities, who are investigating with Binance, Coinbase, Huobi and Kucoin exchanges.