๐ฅ ๐ง๐ฒ๐ฟ๐ฟ๐ฎ ๐๐น๐ฎ๐๐๐ถ๐ฐ ๐๐ฎ๐๐ป๐ฐ๐ต๐ฒ๐ ๐ ๐ ๐ฎ.๐ฌ: ๐ก๐ผ ๐ก๐ฒ๐ ๐ ๐ถ๐ป๐๐ถ๐ป๐ด, ๐ก๐ฒ๐ ๐๐ฐ๐ผ๐ป๐ผ๐บ๐ถ๐ฐ ๐ฅ๐๐น๐ฒ๐
๐งฉ Whatโs New?
While Do Kwon appears in court, the Terra Classic (LUNC) ecosystem quietly rolled out a major update โ the Market Module 2.0 (MM 2.0) โ marking a key shift in how LUNC and USTC interact.
This upgrade changes the way swaps happen between USTC and LUNC by completely removing the old mint-and-burn model.
โ๏ธ Key Features of MM 2.0:
โ No New Minting via Swaps
โ Swaps now use a pre-funded liquidity pool, not freshly minted LUNC.
โ Swap Fee: 0.35%
โ 50% of the fee is burned, 50% goes to the Oracle Pool.
โ Strict Minting Limits (if minting is enabled in future):
โ Based on:
โข SDR base cap
โข Burn history
โข Daily mint limit = 80% of LUNC burned in last 30 days (max 100k SDR)
โ Live Now โ Available immediately for the community to use.
โ Not a Repeg Plan โ USTC will not be treated as a stablecoin or pegged to $1 again.
๐ How the New Swap System Works:
Swap USTC to LUNC โ You give USTC and get LUNC from the pool.
Swap LUNC to USTC โ You give LUNC and get USTC from the pool.
Note: If more users swap in one direction (like only USTC โ LUNC), the pool may run dry. That can reduce LUNC burn impact but increase USTC burns.
โ ๏ธ Why This Matters:
This is the first time Terra Classic has moved away from minting new LUNC entirely. Instead of relying on inflation, it focuses on pre-funded liquidity and burn-based value support.
๐ Final Take for LUNC Holders:
๐ธ MM 2.0 is live and aims to make the economy more sustainable.
๐ธ No new tokens are created via swaps โ a major deflationary shift.
๐ธ Focus on burning, not minting โ and reduced reliance on LUNC inflation.
๐ธ Watch how the liquidity pool behaves in high swap activity โ it could impact both LUNC and USTC price pressure.