Terraform Labs Resumes Shuttle Service, Approves 125 Million LUNA Token Burn
Terraform Labs, the company behind the Terra blockchain, has announced the resumption of its shuttle service and the approval of a token burn for LUNA, its native token. The shuttle service, which allows users to move assets between Terra and other blockchains, was halted in May following the collapse of the Terra ecosystem. The LUNA token burn is part of a broader plan to stabilize the Terra ecosystem and restore value to LUNA holders.
Shuttle Service Resumption
Terraform Labs announced the resumption of the shuttle service on September 7, 2022. The service is initially available for the transfer of assets between Terra and Ethereum, Binance Smart Chain, Polygon, and Cosmos. Terraform Labs plans to expand the service to other blockchains in the future.
LUNA Token Burn
Terraform Labs has also announced the approval of a burn of 125 million LUNA tokens, representing approximately 10% of the total supply. The burn is scheduled to take place on September 12, 2022. The burn is part of a broader plan to reduce the supply of LUNA and increase its value.
Benefits of Token Burn
- Reduces the supply of LUNA, increasing its scarcity and potential value.
- Signals Terraform Labs’ commitment to restoring value to LUNA holders.
- Helps to stabilize the Terra ecosystem by reducing the volatility of LUNA.
Outlook for Terra
The resumption of the shuttle service and the approval of the LUNA token burn are positive developments for Terraform Labs and the Terra ecosystem. These measures are expected to help stabilize the ecosystem and restore value to LUNA holders. The long-term success of Terra will depend on the company’s ability to execute its plan and rebuild trust with investors.
Kind regards S. de Vries.
