- The Luna Foundation Guard has bought an additional 37,863 Bitcoin worth $ 1.5 billion
- The purchase is in line with Do Kwon’s goal of backing UST with digital asset reserves worth $ 10 billion
- The Luna Foundation Guard now holds 80,394 BTC
The Luna Foundation Guard has acquired an additional 37,863 Bitcoin worth $ 1.5 billion to further back its popular stablecoin of UST.
The recent purchase of Bitcoin was carried out in two transactions: $ 1 billion with Genesis Trading and $ 500 million worth of Bitcoin through 3 Arrows Capital (3AC). With this purchase, the Luna Foundation Guard now holds 80,394 Bitcoin worth an estimated $ 3.2 billion at the time of writing.
UST is Attempting to Observe the Bitcoin Standard – Do Kwon
The recent purchase of $ 1.5 billion worth of Bitcoin is in line with the vision of Terra’s founder, Do Kwon, of backing TerraUSD (UST) with $ 10 billion worth of BTC and other digital assets.
Mr. Kwon further elaborated his vision to CNBC by stating ‘For the first time, you’re starting to see a pegged currency that is attempting to observe the bitcoin standard. It’s making a strong directional bet that keeping a lot of those foreign reserves in the form of a digital native currency is going to be a winning recipe. ‘
He also added that time is the only element left to test out the TerraUSD (UST) project. Additionally, the stablecoin project is particularly important given ‘that we live in a time where there’s excess money printing across the board and when monetary policies highly politicized that there are citizens that are self-organizing to try to bring systems back to a sounder paradigm of money. ‘
TerraUSD (UST) Makes an Entry into Coinmarketcap’s Top 10
At the time of writing, TerraUSD (UST) is ranked tenth on Coinmarketcap with a market capitalization of $ 18.683 billion. UST is also now also ranked third in the stablecoin category after Tether ($ 83.154 billion) and USDC ($ 48.7 billion). It has also eclipsed Binance USD (BUSD) which has a market capitalization of $ 17.8 billion.