Terra Classic (LUNC) has risen nearly 180 % in the last 7 days and hit a high of $0.0003 on the morning of September 2nd.
According to Coinmarketcap, the price of Terra Classic (LUNC) rose by nearly 1,80% in the last week, increasing its market capitalization from $600 million to $1.87 billion between August 25th and September 1st.
Terra Classic New Pledge Mechanism
The price increase is mainly due to the new pledge mechanism to be provided by the LUNC DAO, which announced the launch of a token destruction program last month in order to rebuild the ecosystem and restore the value of LUNC.
Twitter user @LuncStaking_Bot said on Sept. 3 that there are currently nearly 500 billion LUNC pledges, accounting for about 7% of the supply.
Burning tax
With the LUNC v.0.5.22 mainnet update, the pledge mechanism is expected to be operational on September 12, the approved transaction destruction fee proposal will apply, and all chained transactions will be subject to a 1.2% destruction tax.
Will LUNC go back to one dollar?
The LUNC market has seen a massive increase in circulation since the May crash, and now stands at around 6.54 trillion units. If the coin were to return to a dollar, the total market capitalization would be 6.54 trillion dollars, surpassing Bitcoin, which has a current market capitalization of around $380 billion, and becoming the number one cryptocurrency in the cryptocurrency market by market capitalization, which is something that any reasonable investor would understand is virtually impossible to achieve.