Terra peg mechanism in doubt as UST crashes to 67 cents

Terra USD (UST) and its backing coin LUNA have been in a veritable nosedive in price and market cap since major sell-offs began in the ecosystem. The third-largest stablecoin by market cap Terra USD (UST) appears to be in a catastrophic tailspin which has seen it de-peg from the dollar and drop to as low as $0.67 on May 10.As its price has fallen, so has its market capitalization along with that of Terra (LUNA) which backs the majority of the value of UST.

LFG to deploy $1.5 billion to bolster UST peg and build BTC reserves

LFG outlined that it will first loan out $750 million worth of BTC to over-the-counter trading firms to manage the capital and “help protect” UST.

xASTRO staking and upcoming ‘Terra wars’ send Astroport price to new highs

ASTRO price rallied to a new all-time high after the launch of xASTRO staking and traders’ expectation that the Terra ecosystem will soon wage its own version of the “Curve wars.” Projects that launch on up-and-coming blockchain networks can often benefit from a low competition environment that allows them to attract  new users and liquidity at a faster rate than crowded networks like Ethereum. A recent example of this is Astroport (ASTRO), an automated market maker (AMM) on the Terra (LUNA) network that has seen an influx of activity alongside the increased attention that is being focused on the Terra ecosystem and its Terra USD (UST) stablecoin.

Terra (LUNA) Acquiring $100,000,000 of Top Ethereum Competitor After Selecting Bitcoin As Primary Reserve Asset

Public blockchain Terra (LUNA) is buying $100 million worth of Avalanche (AVAX) tokens to boost its Terra USD (UST) stablecoin reserves.

‘We’re already buying’: Terra founder plans to obtain $10B BTC for reserves

Kwon also bullishly emphasized that its stablecoin TerraUSD (UST) backed by $10 billion-plus in BTC reserves will “open a new monetary era of the Bitcoin standard.” The founder of Terraform Labs (TFL) and Ethereum competitor Terra (LUNA) Do Kwon has outlined plans to accumulate a whopping $10 billion worth of Bitcoin (BTC) to add to the project’s stablecoin reserves.

Russia Invasion Could Boost Bitcoin (BTC), Ethereum (ETH) and Stablecoins, According to Bloomberg Intelligence

Bloomberg Intelligence says that Russia’s invasion of Ukraine could aid in driving up the prices of Bitcoin (BTC) and Ethereum (ETH).

Luna Foundation Guard raises $1B to form UST reserve denominated in Bitcoin

Terra said it chose to denominate the Forex Reserve in Bitcoin because it considered the crypto asset "less correlated to the Terra ecosystem." The nonprofit organization focused on the open-source stablecoin network behind Terra USD, Luna Foundation Guard, has closed on a $1 billion raise through the sale of LUNA tokens.In a Tuesday tweet, Terra said Jump Crypto and Three Arrows Capital led the $1 billion round with participation from DeFiance Capital, Republic Capital, GSR, Tribe Capital and others.

Terra injects 450M UST into Anchor reserve days before protocol depletion

The move is designed to maintain the stablecoin savings protocol's lucrative yield of approximately 20% per annum. In a tweet published early Friday, Do Kwon, founder of Terraform Labs, the entity developing the Terra Luna (LUNA) and Terra USD (UST) stablecoin ecosystem, announced the injection of 450 million UST ($450 million) into the Anchor protocol's reserves.

Defi and Algorithmic Stablecoin Demand Grows in 2021 Despite Large Centralized Competitors

On Wednesday, October 13, 2021, the market capitalization of all the stablecoins in existence is around $134 billion, which is 5.60% of the entire $2.4 trillion crypto economy.