With the recent decision by Terra Luna Classic core developer Joint L1 Task Force (L1TF) to work on the USTC repeg, the revival of TerraClassicUSD (USTC) price to $1 seems increasingly likely. The L1TF team plans to collaborate with the RedlineDrifter-led USTC repeg team following the v2.1.1 parity upgrade, focusing on the USTC stablecoin.
LuncBurnArmy, the project manager of the Joint L1 Task Force, confirmed these plans on June 20. In a series of tweets, he expressed their intention to work with the newly formed Quant team and support tasks approved by the Terra Luna Classic community’s governance voting. This decision comes after RedlineDrifter and LuncBurnArmy settled their minor dispute on the subject and reached a productive agreement.
As part of the collaboration, the L1TF will remove the ‘reserve architecture/design’ and other USTC items, except for the market module, which will undergo rigorous testing. Moreover, the Quant team will be responsible for finding alternative ways to fund the reserve if CEX does not back the divergence tax proposal.
While LuncBurnArmy stated that the Quant team should allocate 60-70% of their time to the divergence tax, they also encouraged them to explore independent funding methods for the reserve, unconnected to CEXs. Additionally, the L1TF will test the market module during Q3, and both teams will need to address community concerns.
In terms of pricing, the Terra Classic developer group Joint L1 Task Force completed the most significant v2.1.1 parity upgrade on June 14. This accomplishment made the chain attain parity with Terra 2.0 and other Cosmos chains, thereby enhancing the chain’s utility.
While some in the community expected a 40% increase in LUNC price to $0.00014 following the parity upgrade, market volatility affected the broader market. However, the falling wedge pattern has not been violated, indicating that the Terra Luna Classic price may be set for substantial growth.
Currently, the LUNC price trades at $0.000088, a slight 2% drop in the past 24 hours, while the USTC price is trading at $0.011, a 1% increase in that same period. Time will tell how these developments might affect the blockchain’s future and stability, but the collaboration between these teams and their efforts to address community concerns is undoubtedly noteworthy.
Source: Coingape
