Last month the depegging of the stablecoin UST from the dollar sent shockwaves through the crypto community, as it triggered its partner token, LUNA, to algorithmically print trillions of tokens to maintain balance. This flood of supply left many holders faced with a harsh reality as billions of dollars in value were wiped out in days.
Holders of LUNA hoped Terra would respond by burning some of the surplus LUNA, with the intent of regaining UST’s peg and recovering LUNA’s value. Instead a hard fork was announced, which would designate LUNC as the original token with the original supply and stablecoin pairing, and creating a new token, LUNA, with a supply of 1 billion and no stablecoin pairing. Though this hard fork was supported with a majority vote among validators with governance—and subsequently launched on May 28th—the vote among popular polls with non-validators was said to be overwhelmingly against the proposal, with most token holders redoubling their call to instead burn the excess supply.
As Terra 2.0 continues to move forward, the now community-driven LUNC intend to right the course of the token’s activity and use case, with or without the support of its original creator. The community have already connected with StarShip CEO Matt Albright to forge a new path forward.
StarShip is a quickly growing ecosystem built around a solid foundation of collaborative, loyal businesses and passionate community members. Their whitepaper opens with the statement that “community is at the heart of [its] currency”, and the vibrant culture of partners and projects surrounding the StarShip NFT Game and StarShip’s strong liquidity pool pairings are already a testament to their dedication to this mission.
Recently StarShip unveiled a trailer featuring actual in-game footage of what will be the largest metaverse in existence to date. Built on the powerful new Unreal 5 engine and boasting 32,000 square kilometers of buildable space, the size of this MetaUniverse will allow room for unparalleled long-term growth and opportunity. As a result of LUNC’s new collaboration with StarShip, LUNC will be implemented into the StarShip ecosystem as one form of payment within StarShip Universe, burning 1.2% of all LUNC received for these payments.
In related news, the 1.2% burn tax mechanism put forward in LUNC’s Prop 3568 was successfully passed on Sunday. This will begin to reduce the supply of existing tokens as they are circulated, which comes as great news to its loyal holders. Finding a strong use for LUNC comes at an opportune moment. As StarShip welcomes the Luna community, this collaboration strengthens the foundations of both ecosystems.