- Terra buys one other 2,943 BTC, price about $139 million, for its UST reserve.
- Terraform Labs CEO mentioned that the corporate is trying to turn out to be the second-largest holder of bitcoin after Satoshi.
- UST has skilled numerous progress not too long ago, with over a YTD market cap progress of 55%.
The Luna Basis has bought an extra 2,943 BTC, price about $139 million, for its UST reserve. The bitcoin address for the Luna Basis Guard (LFG) reveals the acquisition, and that the entire BTC now stands at over 30,000.
The Luna Basis Guard has mentioned previously that it’s contemplating buying as a lot as $10 billion price of BTC for its UST stablecoin reserve. Presently, that determine is just below $1.5 billion.
Terraform Labs co-founder Do Kwon mentioned that he expects the corporate to turn out to be the second-largest holder of bitcoin, outdoors of Satoshi Nakamoto. That may be a tall order and would require Terraform Labs to purchase far more bitcoin. However it seems that they’re decided to take action by latest purchases.
In a recent interview, Do Kwon spoke on numerous topics associated to the mission, DeFi, and stablecoins. Speaking concerning the latter, he mentioned that stablecoins are mandatory as a result of folks favor to make use of fiat forex, saying,
“Stablecoins are necessary as a result of they facilitate a ton of various transactions that unstable currencies like luna, solana, or bitcoin can not… Stablecoins at present are, for my part, the strongest software and use case in all of crypto.”
And UST’s progress seems to be mirroring that sentiment. The stablecoin has made great progress previously six months, and will even problem a number of the market’s most entrenched stablecoins.
Can UST Problem Different Stablecoins?
UST is a stablecoin that has had its fair proportion of controversies. Many available in the market don’t consider that the LUNA and UST relationship is sustainable. This even led to Do Kwon accepting a $10 million and $1 million wager from a market investor, who mentioned that LUNA’s worth can be down from its present valuation a 12 months from now.
However the market cap of UST has risen exponentially in latest months. Yr thus far, that determine has gone up by 55%, in comparison with solely 5.7% of DAI, which is without doubt one of the market’s hottest stablecoins. DAI has a market cap of $9.2 billion and UST has a market cap of $16.3 billion.
It is just in latest months that UST has picked up so considerably. After it grew to become essentially the most staked asset attributable to excessive rewards, LUNA’s worth rose by over 23%. These sorts of headlines are fueling extra funding within the asset and, with extra developments across the nook, that determine may go even increased.