2026-01-10 12:29:44

Dear traders, the Terra ecosystem has reached a critical turning point. On January 16, 2026, Terraform Labs (TFL) will officially shut down, which not only signifies the exit of a company but also marks the beginning of a fully community-driven new phase for the LUNC ecosystem.

From my perspective of tracking on-chain data, the significance of this event goes far beyond the surface—it is a structural reset. To start with the most immediate benefit: the $4.47 billion settlement between TFL and U.S. regulators, along with the subsequent bankruptcy proceedings, will come to an end. The legal sword hanging over LUNC has been settled, and long-term regulatory pressure will dissipate. The impact on market sentiment is self-evident.

More interesting is the change on the supply side. TFL currently holds 275 billion LUNC and 1 billion USTC. According to the bankruptcy court’s ruling, these may be permanently burned. Once executed, the circulating supply will be directly reduced, and this deflationary expectation has always been an important narrative in the crypto market.

On the technical level, the Terra Classic chain has completed the v3.1.5 upgrade, with innovative features like Tax2Gas being driven by community teams such as Genuine Labs. Interestingly, detaching from centralized companies has actually boosted development efficiency, which is not uncommon in the Web3 community.

On-chain data provides some real-time signals. LUNC’s trading volume increased by 26% before and after the upgrade, indicating that major funds are still paying attention to this sector. However, volatility is also worth cautioning—before TFL’s final shutdown, panic selling may occur, and short-term retracement risks exist. The current key support level is around $0.000080, and a break below could see a dip to $0.000075. But from on-chain activity, it appears that large funds are positioning rather than fleeing.

Signals of ecosystem revival are accumulating. TFL’s exit clears a pain point, and the initiation of community governance marks a new beginning. For long-term holders, this period is worth close observation.

LUNC-1,25%

USTC-2,48%

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ThatsNotARugPull

· 3h ago

27.5 billion LUNC to be burned? If this really happens, it might rewrite the narrative... The regulatory chokehold has finally loosened, but the real test is just beginning. --- Let's forget about TFL shutting down. Honestly, it's just about finally shedding the legal burden, but whether the community can step up afterward is the real point. --- Wait, a 26% increase in trading volume... Is this the main force stacking up, or does anyone really believe this story? --- Deflation expectations again, same old tune, but if this time the burn can actually be executed, then it's a different story. --- The 0.000080 level feels like a psychological battle—whoever panics first loses.

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ProofOfNothing

· 01-11 21:21

Another story of LUNC making a comeback, I've heard it too many times... But if TFL really shuts down, then the destruction of 275 billion coins is the real focus. Wait, is it really destroyed or are they changing their tune again? I know the crypto circle's tricks too well. 26% increase in trading volume? Are the major players still deploying? Show me the on-chain wallet data, just talking about data, who would believe it? Support level at 0.00008... Sigh, forget it, I don't even want to look at this price. Community-driven? First, let's see if anyone is really doing something, don't just keep making empty promises. TFL's runaway will take a few more months, don't celebrate so quickly.

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MemeKingNFT

· 01-10 19:41

Oh no, it's that story again about the destruction of 2750 billion LUNC... Truly a tale of mainland rise and fall. Today the legal sword falls, and tomorrow we’ll have to see on-chain data speak. I’ve seen through it all. I've long said that TFL, this hot potato, would eventually have to be shaken off. Now, with the community self-rescue, it feels much more reliable than the previous centralized approach... Hopefully this time it won't end in a complete collapse like those previous projects. That support level at 0.000080, I’ve noted it down, but honestly, a 26% increase in trading volume could also be the last hurrah before the main players start to offload. Being cautious is not wrong.

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EthSandwichHero

· 01-10 12:59

TFL shutdown marks the beginning of decentralization, and the true test of the community has arrived. Burning 2750 billion LUNC is indeed quite impressive. That said, whether the support at 0.000080 can hold is the key; if it breaks, we'll have to see the next move. Wait, can the community team really handle this? Or should we just observe for now.

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ChainWatcher

· 01-10 12:59

27.5 billion LUNC burns need to truly materialize for this wave to have some imagination, but it depends on when the court will actually enforce it. Is TFL's closure actually good news? Think about Do Kwon's story... I still prefer to be cautious. Wait, is the support level at 0.00008 about to break again? I find this coin nerve-wracking. Community-driven? Sounds good, but in reality... it often ends in a dead end. What does a 26% increase in trading volume indicate? Are the big players accumulating or are retail investors chasing the high? That's the real question.

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MrRightClick

· 01-10 12:54

Is the 275 billion LUNC going to be burned? Now it really depends on whether the community can handle it or not. Don't cause another fuss. Don't just focus on the deflation narrative; I'm more concerned about who is really buying after the crash. How will the 4.47 billion settlement funds be distributed? Can they reach the community? Trading volume increased by 26%... probably a sign of an upcoming wipeout, be cautious. TFL being gone is actually a good thing, but we've seen too many community governance failures before. Support level at 0.000080, I bet it will break below, then the slaughtering party begins. Wait, what is Genuine Labs? Let's check if the team is reliable or not. This guy talking about "big funds layout," I can't see it. But retail investors are panicking quite badly. The real test was at the moment TFL shut down. Nothing counts now. To achieve community-driven success, someone really needs to put in money. Just talking won't cut it.

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POAPlectionist

· 01-10 12:45

If the 275 billion LUNC is truly burned, this deflationary narrative has some substance. Wait, can TFL really disappear completely? It feels like there might still be some surprises. I just want to know if that 0.000080 can hold, and what to do if it breaks. The community playing on their own is much better than a centralized company giving random commands, I agree. The regulatory sword has finally been implemented, no need to be anxious all the time. A 26% increase in trading volume? That definitely indicates some people are positioning, I’m watching too. It might dump in the short term, but what about the long term? There still seems to be a chance. Closing TFL, to put it simply, is about clearing the room; only then can new growth emerge. I’m a bit tempted to buy the dip but afraid of being crushed. Is it too early to enter now? On-chain activity is still decent, major holders haven't left, so this signal looks good.

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DiamondHands

· 01-10 12:43

Alright, TFL is gone anyway, finally able to breathe a sigh of relief. Is the 275 billion LUNC really being burned? We'll see then. Trading volume up 26%? Is the main force positioning or just cutting leeks? How are we small investors supposed to know? If 0.000080 can't hold, I'll admit defeat. Anyway, I've already taken a loss, just consider it tuition. Community-driven, huh? Sounds good, but without TFL, who will manage this mess?

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SpeakWithHatOn

· 01-10 12:43

275 billion LUNC directly burned? If that really happens, the deflationary expectations could explode, but it still depends on the court's final ruling... TFL's withdrawal actually boosts development efficiency. This is a bit ironic, but it's a common pattern in Web3. Key support at 0.000080. If broken, it could drop to 0.000075, but the main players are still lurking. This wave is interesting.

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