Arabic AR Chinese (Simplified) ZH-CN English EN French FR German DE Japanese JA Portuguese PT Russian RU Spanish ES Turkish TR
Connect with us

Hi, what are you looking for?

Altcoin

Market Cap Of TerraUSD Stablecoin Has Surpassed $15 Billion For The First Time

The market cap of the TerraUSD (UST) algorithmic stablecoin has topped $15 billion for the first time, according to data provided by CoinMarketCap.

It is now close to surpassing meme cryptocurrency Dogecoin, which remains in 13th place after months of lethargic price action.

CMC
Image by coinmarketcap.com

LUNA, the native token of the Terra blockchain, is flatlining today, adding only a mere 0.30%.

The cryptocurrency has failed to maintain its momentum after hitting a new all-time high of $103.88 on March 9. It is currently trading at $88 on major spot exchanges.

Last month, LUNA raised $1 billion for its Bitcoin-denominated reserve via a private token sale.     

The supply of the native token gets periodically destroyed when new UST tokens are minted (and vice versa). Arbitrageurs are incentivized to maintain the dollar-peg of the stablecoin by swapping it at a discount with LUNA. When the stablecoin surpasses $1, its circulation supply increases by means of burning LUNA tokens.

Betting on LUNA’s future

Terra experienced massive growth in the second half of 2021, becoming one of the leading crypto projects.

Not everyone shares the excitement of the so-called “Lunatics.” There are many skeptics who believe that the cryptocurrency might be overvalued since the Terra ecosystem is sustainable in the long term. MakerDAO’s founder Rune Christensen slammed the stablecoin as a “solid Ponzi” in January.

Last week, crypto trader Sensei Algod bet a million dollars that LUNA would be trading below the $88 level on March 14, 2023.

Do Kwon, the outspoken founder of Terraform Labs, accepted the wager to display his unwavering conviction for the project.

This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

Featured

Altcoin

It is understood that Terraform Labs’ controversial founder and CEO Do Kwon is currently located in the Southeast European nation of Serbia after leaving...

LUNA

The LUNA Classic (LUNC) price has noted a fresh decline in the last 24 hours. In that time frame, the altcoin depreciated by 1%....

Terra

Terra Luna Classic (listed as LUNC) has been making headlines again, but this time for a good reason. The crypto coin has been able to...

Stablecoin

Scott Beck, CEO of the United Texas Bank, urged representatives of the government’s blockchain advisory committee to suggest a policy that would leave stablecoins...