Why is Boycott Binance trending on Twitter?

Why is Boycott Binance trending on Twitter?
Why is Boycott Binance trending on Twitter?

YEREVAN (CoinChapter.com) — An army of Twitterati claiming to be hardcore Terra Classic (LUNC) supported has started an ominous trend targeting none other than Binance, the world’s leading cryptocurrency platform by trade volumes.

The #BoycottBinance hashtag is trending on every crypto user’s Twitter feeds as of Sep. 25, 2022. And the reason it is booming higher is the LUNC community’s anger toward Changpeng Zhao, the CEO of Binance.

At the root of this disturbance lies a governance proposal.

CZ rattles LUNC burn supporters

In detail, the Terra Classic team voted to introduce a burn mechanism. In doing so, the ecosystem wants to permanently remove 1.2% of all on-chain LUNC transactions (including web/wallet contract interactions) from the active supply via taxation.

Meanwhile, the LUNC burn will continue until its total supply hits 10 billion versus 6.15 trillion as of Sep. 25. In other words, the LUNC price will soar if its appetite among investors continues to grow against a depleting supply.

CZ earlier supported the change. But the CEO seemed to have a change of heart in his latest AMA on Twitter. Instead, he recommended that Binance begins the LUNC taxation for “opt-in traders” after the consensus of 25% of the LUNC investors.

Binance, Why is Boycott Binance trending on Twitter?
CZ’s tweet on the LUNC burn proposal

It would ensure that early LUNC adopters “are not the only few paying an extra 1.2%.”

“When the opt-in traders reach 50% of the total LUNC trading volume on Binance, we will roll out the 1.2% trading tax for all LUNC trading,” CZ explained, asserting:

“This prevents large LUNC whales who may hold large amounts but don’t actively trade to influence votes.”

The reasoning seemed logical from an exchange’s point of view. But it didn’t sit well with some Terra Classic community members, which took CZ’s decision to introduce opt-in taxation to attack LUNC’s so-called decentralization.

YouTube Crypto King created a full-fledged video about the topic, telling his viewers to support #BoycottBinance on Twitter. Some users also shared screenshots showing how Binance introduced a very high withdrawal fee for LUNC traders, which traps their tokens in the exchange.

Some users also shared screenshots showing how Binance introduced a very high withdrawal fee for LUNC traders, which traps their tokens in the exchange.

CoinChapter could not verify the legitimacy of those claims at press time.

Traders suffer from Terra Classic FUD

The ongoing FUD created trouble for spot LUNC traders as the token’s price entered a free fall since CZ’s AMA on Sep. 23.

On the daily chart, LUNC was down nearly 20% from its Sep. 23 peak of $0.00028384.

Luna Classic daily price chart. Source: TradingView
LUNC/USD daily price chart. Source: TradingView

From the look of how things are going, LUNC’s price could crash further.

Since you’re here, check out how you can reduce your LUNC trading risks with dollar cost averaging here.

close
Binance, Why is Boycott Binance trending on Twitter?

Subscribe Today
for our Weekly Newsletter

Free Weekly Crypto News without the spam.

Related Articles

Our Partners

SwapCoin.com RapidCoin.com ChangeNOW.com Paybis.com WestcoastNFT.com