The Terra company is getting more recognition of its LUNA token, with LUNA value up 17% in this cycle to a value of about $90.
For contrast, LUNA is down 37% since earlier in April, and well under all-time highs of $120 per coin, but it’s doing relatively well now as BTC huddles under $40K, and the recent LUNA rally gives investor traders some concrete hope.
Terra UST is also emerging as a bigger stablecoin with a challenging market cap and presence in the crypto world.
Reporting on Terra’s purchase of $17 million in Convex (CVX) tokens, Shaurya Malwa at Coindesk suggests that Luna is the third largest stablecoin of its kind.
“Convex is a protocol that allows users to earn fees without locking their CRV, the token of the decentralized lending project Curve,” Malwa writes. “Fees earned on Terra’s deposits are distributed among Terra users.”
While Cryptoticker has UST listed after both Tether (USDT) and stablecoin options from exchanges Coinbase and Binance, the UST coin ranks high in any case – among the top five of a fintech category that’s getting more attention today.
Of course, stablecoins as a whole face headwinds in the form of SEC regulation and comments from new head Gary Gensler that stablecoins can represent unregistered securities.
“Make no mistake: It doesn’t matter whether it’s a stock token, a stable value token backed by securities, or any other virtual product that provides synthetic exposure to underlying securities,” Gensler said last July. “These platforms – whether in the decentralized or centralized finance space – are implicated by the securities laws and must work within our securities regime.”
We’ll have to see how that shakes out, but today, more people are paying attention to LUNA and UST as Terra represents a green spot in crypto market activity. Think about adding some altcoins to your crypto stake, if you only currently have BTC and ETH.
