Luna Classic burn rate falls -51% – EverGrow up 135%

The Luna Classic burn rate has stalled since reducing the burn tax.

In November, the burn tax of 0.2% for on-chain Luna Classic (LUNC) trades and Binance trading added just 9.2 billion to the burn wallet. That's a drop of -51% from the October burn of 18.8 billion.

Is the burn reduction a missed opportunity for LUNC? 

The Luna Classic community opted to boost prices by ecosystem growth, rather than burning. Meanwhile hyper deflationary tokens like EverGrow are growing in popularity for their innovative burn mechanisms.

EverGrow burns 4x more tokens than LUNC 

Here's how much LUNC was burned in November compared to EverGrow:

• EverGrow burn in November: 0.6% of circulating supply
• LUNC burn in November: 0.15% of circulating supply

The difference in burn will build up over the year. EverGrow could burn over 7% of circulating supply per year at this rate, and LUNC up to 2%. 

But the difference is thatEverGrow has burned more supply than LUNC with a market cap of just $40 million (compared to LUNC's 1$ billion) and daily trading volumes of $100,000 (compared to $100,000,000). 

How does EverGrow burn so many tokens?

EverGrow charges a transaction tax of 14%, split as follows:

• 8% converted into BUSD and distributed among all wallets ($38+ million paid to date)
• 2% to burn tokens (28 trillion burned in last 12 months, or 6% of circulating supply)
• 2% for ecosystem development (NFT marketplace launched)
• 2% to fund liquidity (you can only buy EverGrow on PancakeSwap using BNB or BUSD)

The tax might seem a lot, but that's where the burn mechanism comes into play.

EverGrow launched an NFT marketplace in September called LunaSky. It's the first marketplace in crypto to send 100% revenue towards burning – in this case, EverGrow.

In November, around $12,500 per day has been buying and burning EverGrow. The EverGrow burn rate jumped 135% compared to October.

The EverGrow price has also risen 43% to $0.0000001.

So if you'd bought EverGrow a month ago, you'd still have made a 29% ROI. The EverGrow plan is to launch a crypto social media/ content subscription app in 2023, and send 100% of revenue to burning EverGrow. 

There's also a wallet in development, and a swap function. EverGrow is also building an ecosystem like Luna Classic – just with a burn tax in place. 

Will EverGrow's burning mechanism lead to greater ROI than Luna Classic?

That depends on the ecosystem Luna Classic launches. Until then, EverGrow is one of the fast-rising tokens vying to take its place.