The Terra Classic community is gearing up to burn billions of USTC and LUNC tokens currently sitting idle in Terraform Labs (TFL) wallets. This move comes after TFL announced its plans to burn tokens in its wallets, sparking speculation of a potential price surge for USTC. TFL CEO Chris Amani has confirmed that these tokens will be burned alongside LUNA tokens, with the burn process expected to take place over the next few months.

The Terra Classic community aims to reduce the circulating supply of both USTC and LUNC tokens, which were previously embroiled in the Terra-Luna death spiral. With Terraform Labs and Do Kwon settling with the US Securities and Exchange Commission (SEC) for $4.5 billion, the community is now focused on burning the tokens to revitalize the ecosystem.

TFL CEO Chris Amani revealed that the company always intended to dissolve eventually, and with the settlement in place, the process is now underway. As TFL winds down its operations and files for bankruptcy, the community has identified several wallets containing USTC and LUNC tokens that can be burned. However, some members are concerned about how the burn process will be monitored and ensured.

The Terra Classic community anticipates a significant rally in LUNC and USTC prices following the burn. Currently, LUNC is trading sideways at $0.00009102, with a 24-hour low and high of $0.00008956 and $0.00009237, respectively. USTC, on the other hand, has shown signs of recovery, trading at $0.01864, despite a 15% drop in trading volume.

In conclusion, the upcoming burn of billions of USTC and LUNC tokens by Terraform Labs is a significant development for the Terra Classic community. While the burn may not necessarily lead to a significant price increase, it marks a crucial step towards revitalizing the ecosystem and reducing the circulating supply of both tokens. As the community moves forward with the burn process, it remains to be seen how the market will respond to this significant event.