MultiversX Tracker is Live!

Luna: Hypothetical Burn Scenarios and Information (Deleted off TerraLuna Subreddit)

Binance

Cryptocoins Exchanges / Binance 186 Views

Luna: Hypothetical Burn Scenarios and Information (Deleted off TerraLuna Subreddit)

https://preview.redd.it/77z8j4wx9i191.png?898&format=png&auto=webp&s=acb3cfba5a97847f5ae1d5c9712a0a471944cc6a

The above reverse stock-split sounds simple— but crypto and stocks are as different as apples to oranges.

Terra (LUNA) Circulating Supply | Messari

https://preview.redd.it/b98fpe2z9i191.png?603&format=png&auto=webp&s=781284c38e68e02f410ddfde8d810d536d646315

https://fcd.terra.dev/v1/circulatingsupply/luna

https://preview.redd.it/mag4u100ai191.png?577&format=png&auto=webp&s=75aff3a3cc682c0c7b335632f5afcbbb03fbfd0f

30 days ago, Luna Supply was sitting at roughly 350 million (350,000,000), now we have over 6.5 trillion (6,500,000,000,000) Luna's running around.

Terra (LUNA) Circulating Supply | Messari

In the past 7 days Luna supply has actually increased by 3 billion, but speculations suggest this is cause by wrapped Luna holders converting to the original Luna format to guarantee an airdrop. (PSA: Highly recommend if your exchange hasn't disclosed whether or not they will be supporting an airdrop that you send your Luna to the official Terra Station wallet app offered on iOS and Android)

Terra Station App Logo

Luna Supply has increased by approximately 1,870,391%, meaning there are 18,703 times more Luna in circulation, and the sentiment across the board by the community is to promote burns as much as possible.

https://preview.redd.it/ir0q1xt9ai191.png?525&format=png&auto=webp&s=84c1f39db43661646980a94f9c9df3655f995fae

terra1sk06e3dyexuq4shw77y3dsv480xv42mq73anxu

Please Be Advised: Luna wallet balance cannot be checked on Terra Finder

Terra Finder

https://preview.redd.it/th46q2boai191.png?1724&format=png&auto=webp&s=4d974a432cabd0eb24bd12f198e2a79548f0d1cc

Address terra1sk06e3dyexuq4shw77y3dsv480xv42mq73anxu | Terra (bitquery.io)

https://preview.redd.it/1xqslx1pai191.png?823&format=png&auto=webp&s=ebab56510d0434e2ced9f8a05a3dfe59b0e84607

https://preview.redd.it/8g0wl3npai191.png?738&format=png&auto=webp&s=7ec982ad3bcc1d189daaa80c68c21d8b6af61541

Lunatic Community Collectively Sends 192,710,000 Luna to the Burn Wallet 05/22 - 05/23

Lunatic Community Collectively Sends $47,000 Luna Sent to Burn Wallet in the Month of May So Far

https://preview.redd.it/snpmdd2uai191.png?443&format=png&auto=webp&s=4dedaad4856119090cefbb0eded36970b1fef415

Crypto Exchanges Start Voting On Joining the #BurnLuna Bandwagon

CZ Recommends Do Kwon Does Buy-Backs/Burns as Opposed to Fork

Do Kwon Advising Community To Stop Burning

What does this all mean for Luna?

Market Cap = Circulating Supply x Price

$1,040,313,769 = (6,536,317,779,064 Luna) ($0.00016)

Luna Market Cap = $1,040,313,769

Circulating Supply = 6,536,317,779,064 Luna

Price = $0.00016

Sources:

Terra price today, LUNA to USD live, marketcap and chart | CoinMarketCap

https://fcd.terra.dev/v1/circulatingsupply/luna

Hypothetically, if the supply was to be cut in half (Market Cap is not affected by burns):

$1,040,313,769 = (6,536,317,779,064 Luna / 2 ) x Price

$1,040,313,769 = (3,268,158,889,500 Luna ) x Price

$1,040,313,769 / 3,268,158,889,500 Luna = Price

Price = $0.000318

Supply Cut Down to a Tenth (1/10) [Less than 1 Trillion]:

$1,040,313,769 = (6,536,317,779,064 Luna / 10 ) x Price

$1,040,313,769 = (653,631,777,910 Luna ) x Price

$1,040,313,769 / 653,631,777,910 Luna = Price

Price = $0.0016

Supply Cut Down to a Hundredth (1/100) [Less than 100 Billion]:

$1,040,313,769 = (6,536,317,779,064 Luna / 100 ) x Price

$1,040,313,769 = (65,363,177,791 Luna ) x Price

$1,040,313,769 / 65,363,177,791 Luna = Price

Price = $0.016

Supply Cut Down to a Thousandth (1/100) [Less than 10 Billion]:

$1,040,313,769 = (6,536,317,779,064 Luna / 1000 ) x Price

$1,040,313,769 = (6,536,317,779 Luna ) x Price

$1,040,313,769 / 6,536,317,779 Luna = Price

Price = $0.16

After cutting the supply down to the thousandth of the current supply:

6.5 Trillion => 6.5 Billion (Still 18X higher than pre-crash levels less than a month ago in April [350M])

$0.00016 => $0.16

Essentially 6,529,775,053,235 Luna was burned (99% of current supply) which would have cost someone $1 Billion Dollars ($1,000,000,000) to accomplish.

https://preview.redd.it/px95ics2bi191.png?767&format=png&auto=webp&s=420f9ee557ab9f50d8b1746994cb63402377b6fd

Just so you know, 80K bitcoin is around $2.4 Billion Dollars. If only 50K of the Luna Guard Foundation wallet's reserve was used we're still working with $1.5 Billion Dollars in BTC assets.

Scenario A: So, technically speaking—if Do Kwon wanted to set a limit order at current prices for around 6.5 Trillion Luna and wait a few months/years/decades for the order to fulfill as he accumulates 99% of the supply before sending it to the burn wallet he could technically send it to $0.16. (/sarcasm)

Scenario B: Contrarily, he could also just do a massive market-order and everyone and their mother's Limit Sell orders would execute at whatever price. Trading bots would probably catch on fire until the funds were depleted, followed by a massive dump as we all still have millions of coins. Can't comprehend if it would be a Luna party or a blood-bath.

Scenario C: Feel free to post in the comments

Scenario's A & B above are a no-go— the road back to anywhere starts with healthy buy-volume and corrections paired with modest and consistent burns by exchanges (preferably way bigger ones than we have now), Do Kwon and the Luna contract, as well as the community.

[To be honest, I don't think it's fair that community members burn their own coins. I must say it was a lively moment and did cause some FOMO/Price-action but I think you guys made your point. You're free to continue organizing and sending your Luna's off but remember we're not the ones with disposable incomes]

Disclaimer: None of this is financial advice.

TLDR: Hypothetical Burn Scenarios and some math's, theories and accusations, resources and information, NFA. [NGL, this might be a mess]

submitted by /u/Atsoc1993
[link] [comments]

Get BONUS $200 for FREE!

You can get bonuses upto $100 FREE BONUS when you:
💰 Install these recommended apps:
💲 SocialGood - 100% Crypto Back on Everyday Shopping
💲 xPortal - The DeFi For The Next Billion
💲 CryptoTab Browser - Lightweight, fast, and ready to mine!
💰 Register on these recommended exchanges:
🟡 Binance🟡 Bitfinex🟡 Bitmart🟡 Bittrex🟡 Bitget
🟡 CoinEx🟡 Crypto.com🟡 Gate.io🟡 Huobi🟡 Kucoin.



Comments