Terra Announces Token Burn $1.4B LUNA to Stabilize !

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Terra believes that decreasing the amount of LUNA in circulation while increasing the amount of available LUNA, is the easiest way to return the UST to a peg.

“The primary obstacle is expelling the bad debt from UST circulation at a clip fast enough for the system to restore the health of on-chain spreads,” said Terra in a Tweet.

Terra said that it wants to burn the nearly 1 billion UST (roughly $690 million) in the community pool.

Additionally, increasing the Base Pool of LUNA available to 100 million which in turn increases minting capacity to over $1 billion.