1. The court has ruled on Do Kwon's crime – What will happen?
Do Kwon officially receives a penalty in the US, there will be three main impacts:
(1) Legal factors become clearer
The market always hates uncertainty. When Do Kwon pleads guilty, the entire legal saga lasting many years will come to an end. This helps:
• Eliminate the overarching "legal risk" surrounding Terra Classic.
• Create a sense that the past has been "locked away," and the ecosystem can be restructured independently of Do Kwon.
(2) Community trust may increase slightly
When everything is transparent, the community can more easily come up with new plans:
• Burn strategy
• Reform the governance system
• Focus on real utility
From a market psychology standpoint, this sends a positive signal as the "old wounds have been resolved."
(3) Terra 2.0 and Terra Classic are completely separate
Do Kwon's guilty plea further clarifies that:
• TFL's Terra 2.0 = a separate path
• Terra Classic = entirely community-operated
This helps LUNC be seen as an independent ecosystem — no longer bound by Do Kwon's past.
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2. If the Terra wallet burns tokens according to community voting
(1) Burning Terra wallets (TFL wallet or old ecosystem wallets) will be a positive shock
If the community approves a proposal to burn some or all tokens from old wallets:
• LUNC supply significantly decreases
• Future selling pressure decreases
• Recovery narrative is strongly activated
This is a very "bullish" story as it directly impacts tokenomics.
(2) LUNC price may spike significantly
$LUNC always relies on two factors:
1. Strong burn
2. The rebirth story to keep people always attentive.
