Broker eToro recently announced a significant update regarding the LUNC (Terra Classic) token, which will affect its trading status on the platform.

eToro published a notice on its website detailing that the LUNC asset will remain in closed mode until further notice. The decision follows a notice from the Terra Foundation, which cited numerous security policy violations and noted a decrease in stability on the Terra Classic network.

According to eToro's official statement, the LUNC token was placed in a “closed access only” status on July 17, 2024. This proactive measure is aimed at mitigating potential risks associated with the current issues in the Terra Classic ecosystem.

“We understand the implications of this decision and assure our users that our primary concern is maintaining the safety and reliability of our services,” eToro said in a statement. “The LUNC asset will remain in closed mode until we have more clarity on the situation.”

The action reflects eToro's commitment to protecting its users' investments by responding promptly to security issues. The platform strives to ensure that any exposure to potential threats is minimized while maintaining transparency to its user base.

The LUNC token, also known as Terra Classic, is part of the Terra blockchain ecosystem, which is facing challenges related to network stability and security policies. The Terra Foundation had previously decided to split the original Terra token into two separate tokens, LUNA (LUNA2) and LUNC (Terra Classic).

The LUNA token had been in “closure only” status for about two years, a consequence of the Terra Foundation's decision to differentiate the tokens due to various network issues. This historical context highlights the ongoing challenges in the Terra ecosystem and the steps platforms like eToro are taking to address them.

For eToro users, the “close only” status means that they can close existing positions in LUNC, but cannot open new ones. This restriction will remain in place until eToro deems the security and stability of the Terra Classic network satisfactory.

eToro's decision to move the LUNC token to “close only” mode emphasizes the importance of security and stability in the volatile cryptocurrency market. By taking proactive measures, eToro aims to protect its users while overcoming the challenges of the Terra Classic network.