At about 3am Malaysian time, Terra (LUNA) carved its latest all-time high (ATH) with a record value of $ 109.91, up almost 24% from the daily low, $ 88.86 on March 26.
At the same time, this network became a fast -growing DeFi protocol after overtaking major networks such as Binance Smart Chain (BSC).
It is understood that the LUNA price surge is related to the purchase of Bitcoin (BTC) which is used as treasury money for the Terra network.
Here are the details of this project:
February 25 - Luna Foundation Guard announces the sale of private tokens and manages to raise a profit of $ 1 billion.
The effort aims to create Bitcoin reserves for stablecoin, UST.
March 14 - Terra founder Do Kwon announces plans to buy BTC worth more than $ 10 billion in stages to be used as a reserve for UST.
Why?
The market value of UST has already surpassed the $ 15 billion mark and needs stable reserves to offset its value.
March 26 - Terra begins making its first BTC purchase: 24,954.95 BTC worth $ 1.1 billion.
March 28 - Terra owns $ 1.3 billion worth of BTC after the network added $ 135 million of BTC in four purchases on the same day.
💥Terra now owns $ 1.3b #Bitcoin on the way to buying $ 10b! ⁇
- Bitcoin Archive 🗄🚀🌔 (@BTC_Archive) March 28, 2022
Terra's efforts to turn digital assets into default reserves to reach more than $ 1 billion attracted the attention of the crypto community again this purchase is a long-term investment.
Not only is LUNA showing a price spike, the total locked in value (TVL) for Terra has also grown from a record around $ 26 billion to the latest ATH, $ 29 billion!
No wonder why Terra is in second place after Ethereum ($ 128.31 billion) and has already surpassed BSC, Avalanche, Solana, and Phantom.
However, at the time of writing LUNA was slightly down from ATH but still survived with a price increase of almost 3% in 24 hours, it traded at $ 106.10. While Bitcoin (BTC) was worth $ 47,423.69, up 0.20%.
