Summary: According to Cointelegraph, Changpeng Zhao, the chief executive officer of Binance, recently recommended a 1.2% trading tax on LUNC trades and burning it to reduce the token’s supply and bring up price levels. The recommendation comes in the aftermath of the Terra collapse, still troubling investors and members of the Terra community. On Twitter, Zhao ...

According to Cointelegraph, Changpeng Zhao, the chief executive officer of Binance, recently recommended a 1.2% trading tax on LUNC trades and burning it to reduce the token’s supply and bring up price levels.

The recommendation comes in the aftermath of the Terra collapse, still troubling investors and members of the Terra community.

On Twitter, Zhao proposed an opt-in button that allows people to opt-in to pay the trading tax.

A trading tax of 1.2% would then be implemented for all LUNC trades after those opting-in to pay the trading tax reaches 50%.

The recommendation was met with mixed reactions by the LUNA community, with some supporting it and others viewing it as market manipulation.

Zhao believes it is important to implement the change across all exchanges because people will be incentivized to move to other exchanges that don’t require the tax. However, he believes in community voting, opting to give them the final say in the decision.

Author: Katie Lin