Terra

Terra (LUNA) is a public blockchain protocol that emerged from Terra Classic. Due to limited liquidity, LUNA sell orders will not be accepted from 10:51 PM - 11:11 PM CT. Please submit your orders outside of this window.

On Thurs. May 25, Terraform Labs announced that the Terra community had approved the creation of a new blockchain, Luna 2.0. The creation of this new chain is a response to unprecedented volatility on the Luna 1.0 chain, which caused the price of the original LUNA and UST to collapse almost to zero. 

As part of the migration, the former asset LUNA will become Luna Classic, or LUNC. A portion of LUNA holders will be eligible to receive an airdrop of the new token (LUNA), per the terms outlined by Terraform Labs.

The new Terra blockchain will utilize the new LUNA, and will not include the UST stablecoin. 

On 9 May, after nearly 18 months of steadily holding its value against the US dollar, the so-called stablecoin TerraUSD (UST) became unpegged. The uncoupling triggered a cascade response that ultimately crashed UST and the Terra (LUNA).

TerraUSD (UST) is a stablecoin, which means it is a cryptocurrency pegged to a fiat currency. In this case, it is designed to be pegged to the US dollar. Stablecoins are intended to allow investors to hold crypto assets with less volatility, and trade a dollar equivalent without needing to cash out their positions. 

UST is considered an algorithmic stablecoin because instead of being backed by assets such as cash or cash equivalents, it is supported by on-chain code that facilitates a change in the supply and demand between UST and LUNA.

LUNA is the cryptocurrency that works in unison with UST in an effort to keep UST in 1:1 parity with the US dollar. One dollar of LUNA can always be converted at a 1:1 ratio to 1 UST. 

For example, if LUNA is trading at $10, then it can be redeemed for 10 UST, and 10 UST can be redeemed for 1 LUNA. If UST rises above its $1 peg to $1.01, then traders can swap 1 USD of LUNA for 1 UST. This trade burns 1 LUNA and mints 1 UST, which can then be sold for 1.01 USD. 

If UST rises to $1.02, then traders can sell for a 2 cent profit, and so on. 


In theory, increasing the supply of UST and lowering the supply of LUNA brings the price of UST back down until it reaches $1. Conversely, if UST drops below the $1 peg, then traders will be incentivized to buy 1 UST for 0.99 USD, which can then be swapped for 1 LUNA. 

This move burns UST and mints LUNA, sending UST higher towards the $1 peg.

UST lost its peg to the dollar starting on May 8th following large withdrawals of UST from Terra’s DeFi protocol Anchor. UST fell quickly, and struggled to regain its peg because the burning of UST and minting of LUNA couldn’t keep up. 

UST descended rapidly as the prolonged de-pegging led to uncertainty and a snowball effect of larger withdrawals. 


A significant share of circulating UST was locked on Anchor, a Terra-based lending and borrowing protocol that paid users 19.5% to stake UST. 

The LFG used up about $2.9 billion of its bitcoin reserves in an unsuccessful attempt to revive UST. 

WSJ 
Decrypt 
Bloomberg

*This content is for educational purposes and is not investment advice.

Crypto services provider Fireblocks has added support for Terra on its platform as institutional demand for DeFi grows. The post Fireblocks adds support for Terra as it sees ‘record breaking' institutional demand appeared first on The Block.

Fireblocks adds support for Terra as it sees ‘record breaking' institutional demand

Pent-up demand for Terra's ecosystem among Fireblocks' early access program hedge funds and wealthy investors has been “crazy.”

Fireblocks Sees $500M Stampede Into Terra DeFi in First Week

The protocol seeks to expand DeFi liquidity to non-U.S. dollar pegged stablecoins.

Decentralized Forex Is Coming to Terra: Vertex Protocol Raises $8.5M

Avalanche

Solana

Algorand

A leading crypto asset manager says that institutional investment products stemmed outflows last week thanks to continued investment in altcoin-focused products. In the most recent Digital Asset Fund Flows Weekly report, CoinShares finds that crypto investment products suffered minor outflows last week. “Digital asset investment products saw outflows cool last week, totaling US$7.2m, bringing total outflows […] The post Institutional Investors Scoop Up Discounts on Avalanche (AVAX), Solana (SOL) and Two More Altcoins: CoinShares appeared first on The Daily Hodl.

Institutional Investors Scoop Up Discounts on Avalanche (AVAX), Solana (SOL) and Two More Altcoins: CoinShares

Cardano

Bitcoin

Ethereum

The following is an excerpt from the daily CryptoCodex email newsletter. Sign up now for free here...

CryptoCodex: Coinbase CEO Reveals Surprise Crypto Prediction As The Price Of Bitcoin, Ethereum, BNB, XRP, Solana, Cardano And Luna Crash

With roughly $16 billion in value on Terra's Anchor, the project constitutes over half of all DeFi activity for the Terra ecosystem.

We Need to Talk About Terra's Anchor

Polygon

MATIC fell to its long-term support level on Saturday, following a surge in price during Friday's session. This came as both RUNE and LUNA also dropped, and traded by as much as 5% lower to start the weekend. Polygon (MATIC) During what has been a bearish start to the weekend, MATIC was one of the […]

Biggest Movers: MATIC Slips on Saturday, RUNE and LUNA Over 5% Lower

A leading blockchain security firm is warning that a phishing scam conned more than 50 Terra (LUNA) network users out of nearly $4.31 million worth of crypto assets. On Twitter, crypto security firm SlowMist urged LUNA traders to be wary of fake advertisements, noting that the majority of the attack resulted from Google phishing ads. […] The post Terra (LUNA) Network Addresses Scammed Out of $4,310,000 in Phishing Attack: Blockchain Security Firm SlowMist appeared first on The Daily Hodl.

Terra (LUNA) Network Addresses Scammed Out of $4,310,000 in Phishing Attack: Blockchain Security Firm SlowMist

A panel of cryptocurrency experts has predicted the bitcoin price will peak at almost $82,000 in 2022 before dropping to just above $65,000 by the end of the year...

Massive 2022 ‘All-Time High' Bitcoin Price Prediction Comes With A Serious Ethereum, BNB, XRP, Solana, Cardano, Luna And Avalanche Warning

A popular crypto analyst says one Ethereum (ETH) rival is on track to hit a new all-time high after surging by 25% in 33 hours. In a new YouTube video, the host of the financial channel InvestAnswers tells his 433,000 subscribers that Terra (LUNA) has excellent entry points in the fluctuating market while holding strong […] The post Analyst Predicts Big Move for Ethereum Rival Terra (LUNA), Highlights ‘Very Bullish' Metric for Bitcoin appeared first on The Daily Hodl.

Analyst Predicts Big Move for Ethereum Rival Terra (LUNA), Highlights ‘Very Bullish' Metric for Bitcoin

Fantom

Frax is working on supporting Fantom projects interested in joining the yield pool, its founder confirmed.

Frax, Terra-Backed 4pool Goes Live on Fantom Network, Attracts $31M

Aave

Bitcoin and Ethereum, the two largest cryptocurrencies by market cap, recovered 3% this morning after starting the week in free fall.

Bitcoin, Ethereum Stage Rebound as DeFi Protocols AAVE, LUNA Rally

A popular crypto strategist and is unveiling his huge long-term price target for Ethereum (ETH) competitor Solana (SOL) while predicting surges for Avalanche (AVAX) and Terra (LUNA).

Crypto Analyst Unveils Massive Target for Ethereum Rival Solana, Predicts Rallies for Avalanche and Terra

LUNA is significantly outperforming the broader crypto market following a massive surge, reclaiming the 8th spot in the rankings.

Terra's LUNA Soars 17% Amid Wider Crypto Market Recovery

The native token of the Terra (CRYPTO: LUNA) blockchain surged by 20% on Monday.

Terra's Luna Crypto Surges 20% Amid Crypto Market Downturn: What's Going On

A robot that's earned a reputation for outperforming the markets is revealing its latest crypto portfolio allocations. Every week, the Real Vision Bot conducts surveys of cryptocurrency-related data in order to create an algorithmic portfolio assessment consistent with the consensus of the “hive mind.” Real Vision says that the bot has had an “astonishing” record […] The post Algorithm Known for Outperforming Crypto Markets Favors Ethereum (ETH), Terra (LUNA), Solana (SOL) and One Additional Altcoin appeared first on The Daily Hodl.

Algorithm Known for Outperforming Crypto Markets Favors Ethereum (ETH), Terra (LUNA), Solana (SOL) and One Additional Altcoin

The combined crypto market has lost almost $400 billion since early April, as top ten cryptocurrencies including Binance's BNB, Ripple's XRP, solana, cardano, luna and avalanche struggle...

‘Absolute Disaster'—Serious Crypto Price Crash Warning Issued After Bitcoin, Ethereum, BNB, XRP, Solana, Cardano, Luna, And Avalanche Go Into Free Fall

A closely followed crypto strategist and trader is predicting a sharp correction for Ethereum competitor Terra (LUNA) while updating his outlook on ETH and smart contract platform Avalanche (AVAX). In a new strategy session, pseudonymous analyst Cred says that LUNA may have printed a massive bull trap after printing a fresh all-time high of around […] The post Crypto Analyst Predicts Steep Correction for Ethereum Rival Terra, Updates Forecasts for ETH and Avalanche appeared first on The Daily Hodl.

Crypto Analyst Predicts Steep Correction for Ethereum Rival Terra, Updates Forecasts for ETH and Avalanche

The Luna Foundation Guard (LFG) purchased an additional 123.89 bitcoin on Friday worth close to $5 million at the time of settlement. Since mid-March, Terra's LFG has been acquiring bitcoin on a regular basis and after the purchase on Friday morning, the non-profit organization has approximately 42,530.827 bitcoin. LFG Acquires Another Batch of Bitcoins for […]

Luna Foundation Purchases Another $5 Million in Bitcoin, LFG Wallet Holds 42,530 BTC

The 10 million LUNA transfer from Terraform Labs is mostly being burned to mint more UST stablecoins.

Luna Foundation Guard Adds to Terra Reserves With $880M LUNA 'Gift'

Ethereum challenger Terra (LUNA) continues to build up its Bitcoin (BTC) reserves as the world's largest crypto exchange Binance adds support for its stablecoin, TerraUSD (UST). Terraform Labs CEO Do Kwon took to Twitter to tell his 357,000 followers that the Luna Foundation Guard (LFG) has purchased $100,000,000 more worth of the leading digital asset. […] The post Terra (LUNA) Purchases $100,000,000 More Worth of Bitcoin (BTC) As TerraUSD Launches on Crypto Exchange Binance appeared first on The Daily Hodl.

Terra (LUNA) Purchases $100,000,000 More Worth of Bitcoin (BTC) As TerraUSD Launches on Crypto Exchange Binance

Terraform Labs has supplied the Luna Foundation Guard with more ammo as it seeks to strengthen its bitcoin reserve. The post Terraform Labs ‘gifts' $880 million in LUNA to Luna Foundation Guard appeared first on The Block.

Terraform Labs ‘gifts' $880 million in LUNA to Luna Foundation Guard

The nonprofit is converting stablecoin reserves from LUNA into BTC.

Luna Foundation Guard Adds Another $100 Million in Bitcoin to Back Terra

On April 13, Terra's Luna Foundation Guard (LFG) acquired 2,508.94 bitcoin worth close to $100 million at the time of settlement. The purchase follows the 4,130 bitcoin LFG scooped up three days ago, and LFG's wallet is now just over 495 bitcoin away from surpassing Tesla's bitcoin treasury stash. Luna Foundation Adds More Bitcoin to […]

Luna Foundation Buys 2,508 Bitcoin for $100 Million, Stash Is Only 495 BTC Away From Tesla's Balance

Terra Bridge, the cross-chain bridge protocol now supports Solana, Fantom, Moonbeam, Osmosis, and Avalanche according to Terraform Labs CEO Do Kwon. “Easiest way to move funds in crypto,” the Terraform Labs CEO explained in a tweet. Terra Bridge Adds 5 New Chains On April 12, 2022, Terraform Labs co-founder Do Kwon told his 352,800 Twitter […]

News for Terra Crypto (LUNA)