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Go to Alpha ReportsBinance warned Thursday that it would delist the LUNA/Tether trading pair if LUNA’s price fell below 0.005 Tether, or about half a penny.
Shortly after Binance sent its tweet, Terra shut down its entire network and left the circulating supply of 34 billionLUNA in limbo, and then turned it back on about two hours later.
LUNA is the native token of the Terra ecosystem. In the past 24 hours, its price has plunged as low as $0.01302—down 99% for the second day in a row, according to CoinMarketCap. As of this writing, it was trading at $0.02074.
By the time Binance made the announcement early Thursday, it had already adjusted the tick size, or minimum transaction size, for several LUNA trading pairs, including the euro, the British pound, Ethereum, and Australian dollars.
Binance has had to do this multiple times over the past week as LUNA’s price has plummeted below the minimum transaction size, making it impossible for people to cash out. The exchange, which lists more than 600 cryptocurrencies, has seen $6 billion worth of LUNA trades in the past 24 hours—accounting for about 8% of all trades in the last day.
The LUNA token has been in freefall while Terraform Labs, the team behind the Terra ecosystem, consider proposals for ways to save it and its native stablecoin, TerraUSD (UST), from complete collapse.
LUNA is meant to help UST, an algorithmic stablecoin, maintain its dollar peg with a mint-and-burn mechanism. Investors can always swap UST for $1 worth of LUNA and vice versa.
But that means over the past week, as UST rapidly lost its dollar peg, investors were able to cash in UST, regardless of its value, for $1 worth of LUNA. At one point over the past week, UST dropped as low as $0.29, according to CoinMarketCap. That means investors making that arbitrage trade would have turned a 70% profit by selling their LUNA.
That has created tremendous sell pressure for LUNA. In fact, earlier this week, Binance stopped LUNA withdrawals “due to a high volume of pending withdrawals transactions.”
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FAQs
Users may withdraw the airdropped/delisted tokens as shown below before 2024-04-20 23:59 (UTC), after which withdrawals will become unavailable.
What happened with Luna tokens on Binance? ›
Binance, 20. 4.17 Billion Terra Luna Classic (LUNC) tokens were burned in the LUNC burning mechanism. The exchange burned through 4.17 billion transaction fees worth $722,630 on LUNC spot and margin trading pairs due to significantly increased trading volumes in March.
Is Binance delisting Luna Classic? ›
LUNC DAO in a post on August 8 revealed that several digital asset infrastructure providers such as Fireblocks ending support for Terra Luna Classic (LUNC).
Is it safe to keep your crypto on Binance? ›
Binance is often considered one of the safest exchanges in the world if you consider the level of security. If the exchange crashed or a hacker stole assets or funds, the SAFU reimburses its users from the $1 billion fund. Not every platform has an insurance fund in place.
Do you lose your money if a coin is delisted? ›
What Happens During Delisting Of Assets? Even though delisting sounds very harsh to investors, it is not always that their money gets lost. They may receive their cash in buybacks or liquidation processes of their companies.
How to withdraw money from delisted crypto? ›
Transferring coins to another exchange is a viable option if the delisted coin is still supported by other exchanges. The process involves creating accounts on both exchanges, checking coin support, generating a deposit address, initiating a withdrawal, and confirming the transaction.
How much Terra Luna has been burned? ›
Over 43 billion Terra Classic tokens have been burned by Binance via the most recent burn, which was caused by trading fees on LUNC spot and margin trading pairings. Almost 83 billion LUNC tokens have been burnt by the community.
Will Binance burn Luna Classic? ›
Binance announced the launch of the LUNC burning mechanism on Wednesday on the 21st. he burned 1.4 billion Terra #Luna Classic (LUNC) tokens at his party. After the recent burning of Binance, the total #LUNC that the crypto exchange has burned so far has exceeded 57 billion.
Is Binance supporting Luna? ›
Fellow Binancians, Binance will support the Terra (LUNA) network upgrade. This will take place at the block height of 7,722,000, or approximately at 2023-11-15 14:30 (UTC).
Is Coinbase delisting Luna? ›
In light of volatility involving Terra ecosystem assets, Coinbase has suspended trading in WLUNA on May 27, 2022. Your ability to store, send, and receive WLUNA is not impacted.
Binance will delist the well-known privacy coin Monero XMR -4.23% on Feb. 20 — alongside Aragon, Multichain and Vai. "At Binance, we periodically review each digital asset we list to ensure that it continues to meet the high level of standard we expect," the crypto exchange wrote in an official announcement.
Why did Crypto.com delist Terra Luna Classic? ›
Crypto.com, a major cryptocurrency platform based in the United States, U-turned on delisting Terra Luna Classic (LUNC) after facing fierce backlash from Terra Classic's community.
Is Binance 100% safe? ›
Bottom line: Is it safe to use Binance? Binance is generally considered one of the safest cryptocurrency exchanges available. It has implemented extensive security measures, including two-factor authentication (2FA) and offline storage facilities. That said, Binance has had a few security breaches in the past.
What will happen if Binance shuts down? ›
Depending on the reason for the shutdown, Binance could face legal actions, asset freezes, or hacking attempts that could jeopardize the security and availability of the funds. Users who store their crypto assets on Binance would risk losing their money or having to wait for a long time to get it back.
What can I do with delisted crypto? ›
The asset can still potentially be traded on other exchanges (such as decentralized exchanges), or through over the counter trading (OTC), but trading activity on the exchange that delisted that asset will cease.
Can delisted coins come back? ›
In most cases, delisting is permanent; however, the asset might be relisted in special conditions.
How do I withdraw money from Binance after ban? ›
If you're unable to use your bank account to withdraw money from Binance, alternative ways to withdraw funds include using a third-party payment processor, transferring to a friend's account, selling for a stablecoin and transferring to another exchange, using a peer-to-peer exchange platform, or using a cryptocurrency ...
What coins are delisted in Binance 2024? ›
Binance Convert will delist the aforementioned token(s) and all associated pairs at 2024-03-27 03:00 (UTC). Binance Gift Card will delist the token(s) mentioned above at 2024-04-03 03:00 (UTC) Users are encouraged to manage Gift Cards containing these token(s) in advance to avoid any inconveniences.
