Terra’s blockchain worth surpasses $30 billion as LUNA prices rise by 70%

The Terra blockchain’s total worth has surpassed $30 billion. LUNA prices have risen approximately 70% in the last week, due to excellent fundamentals and community enthusiasm for Terra.

StakingRewards data shows that 40.5% of LUNA’s circulating supply is currently staked. This allows token holders to earn rewards for assisting in network security. The current annual reward rate is 6.8%.

UST backed by $1 billion BTC reserve

Terra was created by Terraform Labs, a South Korean blockchain business launched in January 2018 by Danial Shin and Do Kwon. Terra’s main net launched in April 2019. The native token’s price-performance was originally modest.

Terra leverages the dollar-pegged stablecoin UST to construct a worldwide payments system. They have launched LUNA as one of two made tokens.

Terra uses LUNA for the issue of stablecoins, price stability, staking, and network administration. Its value has risen as a result of its support for smart contracts and decentralized apps. Its most popular stablecoin, UST, will be backed by a $1 billion BTC reserve.

LUNA has risen almost 76,130% since its lows of $0.12 on March 18, 2020. This made it one of the best-performing cryptocurrencies in the previous two years. LUNA is currently trading at $93.3, down from a high of $103 in late 2021.

Protocol for transferring data across chains Orion.money is the largest staking application that supports LUNA. They have $2 billion in staked LUNA.

Burning tokens from the community pool

The LUNA community adopted a governance proposal late last year to permanently burn $88 million tokens. They have been burned from the community pool and replaced with Terra’s USDT stablecoin. UST’s market capitalization has risen as a result of the move.

Cryptocurrency exchange Coinbase has predicted that once the network combines with the Proof-of-Stake Beacon Chain, ETH staking payouts might quadruple. The transition would raise yields by including net transaction fees. Reports stated that this event is going to take place around June of this year.

Staking on-chain is achievable with cryptocurrencies that use a Proof-of-Stake consensus method, according to CryptoCompare. PoS networks are frequently more energy-efficient than PoW networks while still maintaining some decentralization.

With approximately $40 billion worth of SOL staked on multiple platforms, Solana’s SOL tokens remain the highest staked asset. Stakers get an annual return of 5.86%.

Yet, in terms of overall value locked in apps developed on its blockchain, ether continues to reign supreme. According to statistics from DeFiLlama, Ethereum-based apps have a market cap of around $118 billion. Then we have Terra-based apps of $23 billion and Solana-based apps of $7 billion.

At present pricing, the Beaconcha.in explorer estimates 9.7 million ETH staked valued about $26.5 billion. This is identical to Staking Rewards statistics.

Staking Rewards explained that staked value and TVL measurements are completely different. The latter might include assets locked in DeFi protocols for lending and other functions.

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