Binance, the cryptocurrency exchange platform, recently stated that it would implement a 1.2% tax on LUNC trade through an opt-in button. The CEO of Binance commented on the recent LUNC burn on Friday. According to him, the decision to add the button was made because of widespread demand from Binance’s user base.
— Classy 👾 (@ClassyCrypto_) September 23, 2022
The CEO of Binance outlined the measures the exchange will take in the wake of the LUNC burn, including:
1. First, have an “opt-in” button set up so that consumers may choose to be subject to a 1.2% tax on their LUNC trade.
2. Binance will start taxing all opt-in traders 1.2% of their LUNC trading profits once the opt-in accounts hold 25% of the total LUNC owned on the exchange. This eliminates the possibility of votes being swayed by those who do not own the coin.
Binance is also going to provide some relief to early adopters. After a 25% quorum is reached, the tax is imposed. This should make it simpler for them to choose to participate.
3. The third step is for Binance to implement the 1.2% trading fee for all Luna Classic trading once the opt-in traders account for half of the total LUNC trading volume on the exchange. That way, even massive LUNC whales who don’t constantly trade to affect votes can’t use their holdings to buy power.
— Watcher.Guru (@WatcherGuru) September 23, 2022
If “the threshold for Step 2 cannot be met within a month,” as stated by the CEO, the function will be disabled. There was no confirmation of when exactly the button will be implemented.