The network upgrade for Terra Classic is scheduled to change the burn tax rate. At the Terra Classic block height of 12,902,400, or about on May 23 at 10:00 p.m. (UTC), the Terra Classic (LUNC) network upgrade is anticipated to occur.
The community’s Proposal to Increase Burn Tax, or Proposal 11515, seeks to raise the burn tax from 0.2% to 0.5%. The above-mentioned projected period will see the proposal implemented in the Terra Classic update.
Through the burn tax, the action seeks to decrease the supply of LUNC. Binance and Kucoin, two renowned crypto exchanges, have already declared support for the update.
In accordance with this, Binance has announced that beginning May 23 at 9:30 p.m. (UTC), deposits and withdrawals for LUNC and USTC via the Terra Classic (LUNC) network would be temporarily suspended.
Upgrades to Terra Classic are still being made on a regular basis as a result of many suggestions that aim to bring back its previous splendour. After the UST stablecoin lost its dollar peg in May 2022, the Terra ecosystem came to an end.
On May 17, at the height of 1,812,900 Terra Classic blocks, an upgrade went live that made security updates and functionality authorised by the Terra Classic blockchain’s governance available.
New USTC test environment proposal launches
A request for authorisation and usage of a computing budget that has already been allocated to create a testing environment particularly designed for USTC repeg concepts has just been made.
Setting up a test environment for USTC would need actions like simulating the depegging event once more. This involves determining potential capital constraints (such as limiting the maximum supply) that may have stopped the “death spiral” that followed the USTC depeg.
The procedures entail maintaining the mint/burn system and capping the maximum supply, carrying out a series of transactions to check the Luna Classic and USTC mint/burn behaviours, and gathering, recording, and analysing data.
Making a simulated repeg event and testing suggested tactics for keeping the USTC peg are further tasks.
