The pseudonymous host of Coin Bureau says he’s excited about an up-and-coming decentralized payments platform.
Created by Korean blockchain company Terraform Labs, Terra utilizes stablecoins pegged to different fiat currencies to facilitate payments.
By partnering with protocols that leverage their U.S dollar-pegged stablecoin UST, Coin Bureau says that Terra’s UST has been able to double in the last month.
“Terra has found a unique way to mint stablecoins that are pegged to various fiat currencies in a decentralized manner. The circulating supply of Terra’s US dollar stablecoin, UST, has doubled over the last month and has consequently become one of the largest stablecoins by market cap.
This is because Terra has been building new protocols and partnering with existing ones that leverage the UST stablecoin for borrowing, lending, staking and even synthetic stock trading.”
Terra’s reserve currency LUNA is up 319% in the past 30 days and is trading at $7.50 at the time of writing, according to CoinGecko.
The trader and analyst says he sees a lot of potential in LUNA and believes its price could soon reflect that – but still has some questions about the project, such as how it distributes its tokens.
“I think this is one of the most exciting cryptocurrency projects I’ve seen in some time and part of me regrets not covering Terra sooner. The founders are legit – Terraform Labs is constantly innovating, and a lot of progress has been made since the Terra mainnet went live in 2019.
The Terra blockchain has seen some real use and adoption by various e-commerce apps and platforms in Southeast Asia as well.
That said, I don’t think that Terra will be the backend of the global payments system any time soon. With only a few hundred transactions per second, it’s a bit of a miracle that the Terra blockchain has not been completely clogged up by its existing user base.”
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