{"id":54113,"date":"2021-12-05T13:00:19","date_gmt":"2021-12-05T11:00:19","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=54113"},"modified":"2025-09-03T18:40:34","modified_gmt":"2025-09-03T15:40:34","slug":"luna-hits-new-high-as-terra-defi-inflows-surge","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/luna-hits-new-high-as-terra-defi-inflows-surge\/","title":{"rendered":"LUNA hits new high as Terra DeFi inflows surge"},"content":{"rendered":"

The native token of the Terra protocol, LUNA, traded above $78 on Binance, reaching a peak as funds flowed into the project’s ecosystem \u2014 total value locked in DeFi<\/span> apps exceeded $14 billion.<\/p>\n

At the time of writing, LUNA was trading around $77.<\/p>\n

\"LUNA
Time-series chart of LUNA\/USDT on Binance. Data: TradingView<\/a>.<\/figcaption><\/figure>\n

The rally propelled LUNA into the top ten digital assets. In the last 24 hours the token\u2019s price rose by almost 36%, and its market capitalization reached $29.65 billion.<\/p>\n

\"LUNA
Data: CoinGecko<\/a>.
<\/figcaption><\/figure>\n

Terra is a blockchain protocol for issuing algorithmic stablecoins. The project was founded in 2018 by Daniel Shin, the president and founder of Ticket Monster. The latter is one of the leading e-commerce companies in South Korea.<\/p>\n

The project supports stablecoins pegged to the US dollar, the South Korean won, the Mongolian t\u00f6gr\u00f6g, and SDR<\/a>. The LUNA token is used for governance and to stabilise the prices of assets issued on the network.<\/p>\n

The largest algorithmic stablecoin in Terra is TerraUSD (UST), pegged to the US dollar. According to CoinGecko<\/a>, at the time of writing the asset\u2019s market capitalization exceeds $8 billion \u2014 over the past 30 days the figure has risen 181%.<\/p>\n

The project team also actively develops<\/a> the DeFi segment of the ecosystem. Leading protocols on Terra are Anchor and Lido. The former allows using bonded assets (bonded assets<\/a>) to collateralise borrowing of stablecoins issued on the Terra network. The latter offers the ability to unlock staking-allocated coins like SOL, ETH and LUNO for further use.<\/p>\n

Over the last seven days, Terra\u2019s TVL rose 45%, reaching $14.16 billion. This has placed the blockchain protocol third among the largest ecosystems by TVL, ahead of Solana ($12.81 billion) and Avalanche ($12.49 billion), but behind Binance Smart Chain ($17.12 billion) and Ethereum ($166.38 billion).<\/p>\n

\"LUNA
Data: DeFi Llama<\/a>.<\/figcaption><\/figure>\n

The growth of the project was aided by the integration of the Inter-Blockchain Communication Protocol (IBC) from Cosmos in late October 2021. The solution enables messages to be transmitted between different blockchains. Consequently, the UST stablecoin and the LUNA token appeared on the Cosmos network.<\/p>\n

\n

1\/ Proposal 128 to initiate IBC on Terra has passed, meaning that IBC is now live on the Terra mainnet \ud83d\ude42https:\/\/t.co\/4aIjkdDBBH<\/a><\/p>\n

Stay tuned for once the relayer channels are set up, and users can begin transferring tokens between Terra and the Cosmos ecosystem from Station.<\/p>\n

\u2014 Terra (UST) \ud83c\udf0d Powered by LUNA \ud83c\udf15 (@terra_money) October 21, 2021<\/a><\/p><\/blockquote>\n