Terraform Labs, the company behind Terra blockchain has announced an additional donation of 12 million LUNA or approximately $1.2 billion to the Luna Foundation Guard (LFG) that will be directed towards its growth and stabilization to maintain the UST dollar peg. Do Kwon, the CEO of Terraform Labs, announced on Twitter that the funds will be utilized to burn and mint its UST stablecoin in order to grow the reserves of the Luna Foundation Guard. TFL has donated 12M additional $Luna to @LFG_org. https://t.co/KOqaABKWZi The funds will be burned to mint $UST, and thereafter used to grow LFG's reserves. At current prices, this reflects another 1.2B incoming addition to the $UST reserves. 🌕 — Do Kwon 🌕 (@stablekwon) March 11, 2022 UST is an algorithmic-based stablecoin in the Terra ecosystem with an exchange rate of 1:1 with the U.S. dollar and is in part maintained by swapping of/for LUNA tokens when its market value deviates from its peg. The burning of $1 in UST results in the minting of $1 in LUNA and vice versa. The purpose behind the recent move is to maintain the stability of UST and its peg to the U.S. dollar. While other stablecoins manage to maintain this peg using various systems, UST relies on its relationship with LUNA, and the arbitrage opportunities that the treasury offers to traders. Earlier last month, the Luna Foundation Guard (LFG) raised another $1 billion through its sale of the LUNA token to build a bitcoin-denominated foreign-exchange reserve for UST.

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The Luna Foundation Guard (LFG), a nonprofit organization, has announced new measures to keep the supply of UST, the flagship stablecoin of the Terra ecosystem, liquid in secondary markets. The protocol has already reached the max issuance of UST per day, but demand is strong enough that the foundation will have to burn more LUNA […]

February saw a steady run of applications in the blockchain sector despite declining macroeconomic conditions triggered by the conflict in Ukraine.

The post DeFi slowly recovers while NFT fever abates – February’s monthly report appeared first on CryptoSlate.

The cryptocurrency market has jumped after a shaky couple of days. Affected by the ongoing fallout from the Ukraine-Russia conflict, its total cap had slid [...]

Leading digital payments platform Wirex, which has over 4.5 million users and allows them to spend dozens of currencies at more than 80 million locations worldwide, has added support for the meme-inspired cryptocurrency Shiba Inu ($SHIB) along with Terra’s $LUNA other tokens. According to an announcement the firm made, these two cryptocurrencies were listed at […]

Terra, one of the top 10 cryptocurrency projects by market cap, has reached a UST-related milestone recently. The Luna Foundation Guard (LFG), a nonprofit organization, reported that the protocol had reached the maximum daily issuance of its flagship stablecoin, UST. This is due to high demand that interested parties are showing in minting the asset.…

The post Terra Protocol Reaches Maximum Issuance of UST Daily, LFG Foundation Steps In appeared first on Bitcoin News Miner.

Terra (LUNA) was one of the best-performing assets in February.

The post Here’s why Terra (LUNA) recorded a 78% gain in February appeared first on CryptoSlate.

LUNA is a blockchain used for launching algorithmic stable coins and is now among the top DeFi platforms when it comes to total value locked up in circulation. LUNA has been trending higher over the last few days, but it gained even more momentum over the previous 48 hours. By closing 40% greater, LUNA was among this past week’s biggest gainers. Related Reading | Bitcoin Surges to $40,000 After Breaking Key Resistance The news that Luna Foundation Guard (LFG) created a Bitcoin-denominated reserve has caused markets to react positively. This will act as an extra layer of stability and security for Terra USD, which is currently struggling with sharp fluctuations in prices due to its low liquidity status on exchanges. LFG has announced that it will be investing $1 billion towards building up its Bitcoin reserves. The best part about this news? All of LFs’ coins are locked for 4-years, which means they won’t be able to trade until after those periods. This increases investor confidence across multiple platforms, including LUNA, with demand rising accordingly. Because investors look for safe-haven assets during these uncertain times. The recent move by the US Treasury to create a Bitcoin reserve is being met with rave reviews from analysts and experts. As a result, this new development should lower price fluctuations for UST. The Mechanism  UST is a stablecoin fixed to the US dollar via an algorithm. Unlike other centralized cryptocurrencies, it isn’t backed by anything but Luuna (the company behind them). If prices fall off their peg and go lower than $1 per token, UST can be swapped for LUNA (which is minted). And can be sold for $1, providing arbitrage gains for investors. The opposite happens when demand increases; burning more luna means higher prices because there’ll be less overall supply coming into circulation. Terra’s introduction of a Bitcoin reserve could be seen as the next important step in reducing volatility within its ecosystem. This is because it reduces the correlation between UST and bitcoin.  This means that if traders want to swap out their coins for different assets, they will have plenty available with this new addition. Is It Worth Buying LUNA Now? LUNA’s price has been on an upward trend recently, and it was trading at $74.34 on February 26th, 2022. The coin increased13% in 24 hours. Related Reading | Cryptocurrency Prices Soar On Possibility Of Russia-Ukraine Talks LUNA is currently trading just below the $77.17 weekly support level, with a strong uptrend since February 24th. So keep an eye on this one – it might be time to buy more shares before they climb higher in future updates. If you’re looking to invest in crypto, buying volumes increase, and Luuna is a good bet. The altcoin has been pushing through recent resistance levels with ease. In fact, it could test prices above $90 before the end of February. With LUNA currently trading in a strong uptrend, the crypto is not too late to turn bearish. If this happens, investors should look out below $65 as support, which could signal an upcoming downtrend may be near. Featured image from Flickr, Chart from TradingView.com

LUNA outperforms the market as it closes the week higher by over 40%.  LUNA…

The post LUNA is outpacing Bitcoin in Gains: Is it a good time to buy? appeared first on Coin Journal.

February 23, 2022       /       Unchained Daily       /       Laura Shin Daily Bits ✍️✍️✍️ The former owner of a Bored Ape Yacht Club NFT is[...]

The post UST Is Now a Bitcoin Backed Stablecoin (Partially) appeared first on Unchained Podcast.

The Luna Foundation Guard (LFG) has raised $1 billion in a private token sale to allow the group to safeguard the peg of UST, Terra’s flagship stablecoin, against market instabilities. While the token has an algorithmic method to maintain its dollar value, this decentralized reserve — which will be stored in BTC — aims to […]