eToro’s decision to delist Terra Luna Classic （LUNC） has sparked outrage among the LUNC community, citing developments in Terra’s bankruptcy case as the reason.
Points
- eToro delisted LUNC due to Terra’s bankruptcy case.
- LUNC community demands clarification from eToro and TerraForm Labs.
- TerraForm Labs claims to have no involvement with LUNC.
- eToro’s decision affects 78,000 LUNC holders.
eToro’s recent move to delist Terra Luna Classic （LUNC） has provoked a strong reaction from the LUNC community. The decision is reportedly based on developments in Terra’s bankruptcy case, leading to confusion and frustration among LUNC holders.
TerraForm Labs, the parent company of LUNC, issued a timeline for loss claims related to the ecosystem’s crisis in May 2022. In response, eToro decided to disable LUNC trading, citing the high-profile Terra vs. SEC case, which settled for $4.5 billion.
This action was not spontaneous. An update on eToro regarding LUNA tokens warned about the impending close-only status effective July 17, 2024. Despite this, the delisting of LUNC caught many by surprise.
The LUNC community, particularly validators and developers, has united to demand answers from Chris Amani, the current CEO of TerraForm Labs. They argue that TerraForm Labs should clarify their non-involvement with LUNC to eToro.
Prominent LUNC validator Vegas Morph directly approached Amani via social media, urging him to declare that TerraForm Labs does not own the LUNC chain. This sentiment echoed across Terra Luna Classic’s social media channels, amplifying the community’s call for transparency.
The price of LUNC has suffered as a result, dropping by 6.2% to $0.00008188 at press time. Despite a relief rally last week, LUNC has failed to reclaim a $500 million global market cap for five consecutive days.
eToro’s decision affects approximately 78,000 LUNC holders, adding to the broader uncertainty surrounding the token’s future.
Explanation
- eToro’s Influence: As a major trading platform, eToro’s decisions can significantly impact token prices and investor sentiment.
- Terra’s Bankruptcy Case: The ongoing legal and financial troubles of Terra have far-reaching consequences, affecting associated tokens like LUNC.
- Community Response: The strong reaction from the LUNC community highlights the importance of clear communication and transparency from both exchanges and token issuers.