- The Terra LUNA Classic community is voting on the Tax2Gas proposal, which aims to convert taxes into gas fees to streamline transactions and potentially enhance LUNC’s value.
- Despite mixed feelings among validators, preliminary results show strong community support, and the proposal could mark a turning point for Terra Classic.
The Terra LUNA Classic community is closely monitoring developments as Genuine Labs begins the voting process on the pivotal Tax2Gas proposal. This initiative aims to revamp the way gas fees and taxes are handled, potentially enhancing the value of LUNC.
Revamping Transaction Fee Logistics
Genuine Labs has launched a proposal that could transform transaction fee logistics within the Terra LUNA Classic ecosystem. The Tax2Gas proposal suggests converting taxes into gas using predefined rates, which would enable payment of gas fees in various denominations. This flexibility is expected to benefit users by accommodating those lacking sufficient funds in a single denomination to cover fees. Genuine Labs also mentioned the possibility of future expansions to include other tokens as acceptable payment forms for gas fees.
Streamlining Transactions and Prioritizing Mempool
Hello #LUNC Community
— Genuine Labs (@Genuine__Labs) August 3, 2024
We have a proposal for deciding on Tax2Gas implementation. If approved, we'll merge our PR on the Terra classic core repository as the final version. Otherwise, Genuine Labs will pursue other PPJ proposals. Please cast your vote!https://t.co/o0Fl8lJEci
The proposal introduces a significant change where senders will bear all taxes forwarded by contracts, ensuring that recipients are not burdened with unexpected fees. This change aims to streamline transactions and prioritize them within the mempool. The modifications also include mechanisms to exclude certain Inter-Blockchain Communication (IBC) transactions to enhance overall operational fluidity.
Community Response and Market Impact
Despite its potential benefits, the proposal has stirred mixed feelings among validators, some of whom are concerned about the implications of additional costs. However, the community has largely shown support, with preliminary voting results displaying a robust 82% approval rate. A mere 17% have opposed, while only 0.8% chose to abstain.
After voting started, the LUNC price fell nearly 5% to $0.000071, and its 24-hour trading volume dropped 17% to $13.54 million. However, financial experts predict a possible increase to $0.0001, citing on-chain and technical trends that may lead to a major reversal in Terra Classic’s market soon.
Potential Turning Point for Terra Classic
The successful implementation of the Tax2Gas proposal could mark a crucial turning point, potentially fostering greater stability and user engagement within the ecosystem. As the community awaits the final voting results, the outcome could significantly shape the future of Terra LUNA Classic.
