➡️ LUNC to reach $1? 🤔 ⬅️
Its a long post, but this 'could' rescue #TerraClassic, $LUNC and $USTC at speed. ⬇️
Why I think burning $USTC is maybe not the best use of your money.
Currently there is nearly 9.8bn $USTC minted, to make a real difference to the price you need to burn massive amounts, worth billions of dollars. It is realistically not going to happen, and on its own $USTC is worthless with no use case. #TerraClassic and $LUNC is attracting builders back, once new code is freely available in the same way it was back in #LUNA1 days or new builders whitelist their dApp wallets to avoid the burn tax #TerraClassic will become increasingly attractive to builders (if we support builders).
Also once $USTC is repegged, and starts to burn $LUNC then $LUNC price should rise, raising the value of the oracle pool and therefore staking rewards, this inturn will attract more investment in $LUNC. Nb: The oracle pool (which provides staking rewards) will not drain, rewards from it are based on a bath tub curve so providing $LUNC value rises this can out pace the reduced value due to reduced numbers of $LUNC paid out. Making staking more profitable, potentially vastly more.
Doing a reverse split of $USTC would not burn anyone's holdings, what it does is revalue them.
E.g.
If it currently took 100 $USTC to equal $1 worth, a 100/1 reverse split simply reduces your holding to 1 $USTC and values that at $1.
The value of your holding does not change, and nothing is 'burnt'.
Also if a wallet has 800m $USTC with a repeg value of $800m, a 100/1 reverse split would give that a repeg value of $8m. @4lex_4sh4w.
Applying a reverse split to $USTC prices (If possible) would mean rather than the current repeg value being $9.79bn it would be $97.9m.
✅️A valuation around the $100m mark would be a lot easier to back with capital should a financier / entrepreneur wish to do this.
Clearly a 200/1 reverse split has greater advantages, valuing $USTC closer to $50m
✅️Also it would mean we wipe away all the debt (yes, people would have to come to terms with the loss and not getting a potential though unlikely 100x on their $USTC).
✅️ Once $USTC is valued again at $1 and the swap mechanism is robustly tested, and revised capital controls are in place then $USTC could start burning into the $LUNC trillions and raising its value making it possible for $LUNC to reach massive new all time highs, (if current whales sold, and took profit, and continued to trade), with the burn tax helping as well.
🙏 So if $USTC holders were to pin there 100x or 1000x hopes on $LUNC instead of $USTC a true revival of #TerraClassic could be achievable, in theory.
It goes without saying, even if this is possible, none of this should happen without thorough investigation, development and testing by experts in the appropriate fields.
@DarkLadySolana Agreed...one of the things we'll be focusing on at @SoDeadNFT is creating gamified experiences for 1/1 artists to help bring more exposure to their art
Which btw I think I found the perfect PFP for you 👀