$LUNC Here’s an estimate of how long it would take to reduce the USTC supply from 8.8 billion to 1 billion, based on different tax rates on trading volume (assuming a daily trading volume of 100 million USTC):
Tax Rate Estimated Time to Repeg
0.5% 15,600 days (~42.7 years)
1.0% 7,800 days (~21.4 years)
1.5% 5,200 days (~14.2 years)
2.0% 3,900 days (~10.7 years)
Observations
• Even with a 2% tax, it would still take over 10 years to reach 1 billion USTC.
• If the trading volume increases, the burning process will accelerate.
• A higher tax rate will reduce supply faster, but it may also discourage trading, lowering effectiveness.