Terra Luna Classic (LUNC)

Terra is a blockchain protocol that enables price-stable global payment networks with fiat-pegged stablecoins. According to its white paper, Terra combines the price stability and widespread acceptance of fiat currencies with the censorship resistance of Bitcoin (BTC) and provides rapid as well as economical transactions.

The development of Terra began in January 2018, and the mainnet was launched in April 2019. On May 28, 2022, the genesis block of the new chain was introduced to conduct future transactions under the name Terra (LUNA), while the previous Terra Chain was renamed Terra Classic. The original native token, LUNA, has also been rebranded as LUNA Classic (LUNC). Additionally, all stablecoins on the network (UST, KRT, and EUT) have been rebranded to Terra Classic stablecoins (USTC, KRTC, EUTC). Terra stablecoins will not be available on the new chain.

Luna Classic (LUNC) was the first Terra blockchain native token to be launched in August 2018. $LUNC existed prior to the launch of the new chain, currently known as Terra (LUNA), and works with the Terra ecosystem's original code.

The primary role of the native token was to absorb the price variation of the algorithmic stablecoin — $UST. By creating and burning UST tokens to maintain a balance between the supply and demand of the currency, the price of the UST stablecoin was fixed to the US dollar. UST crashed in May 2022 after losing its peg. The UST stablecoin algorithm manufactured trillions of LUNA tokens plunged into a hyperinflationary spiral and dropped the initial LUNA token's value by 99%.

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