Terra

What Is Terra (LUNA)?

A public blockchain protocol called Terra (LUNA) developed from Terra Classic. The algorithmic stablecoin TerraClassicUSD resides on Terra Classic (UST). LUNC token collateralized UST, as it is now known, crashed in a bank run in May 2022. Terra Classic and Terra were created as a result of the devaluation of LUNA to almost nothing. Here is a detailed analysis of the Terra crash.

In January 2018, Terra Classic's development got underway, and in April 2019, the blockchain went live. Through its UST stablecoin, it aimed to provide quick and inexpensive settlements while combining the censorship-resistance of Bitcoin (BTC) with the price stability and widespread use of fiat currencies. Stablecoins linked to the US dollar, the South Korean won, the Mongolian tugrik, and a basket of currencies known as Special Drawing Rights were made available by Terra Classic.

The legacy of Terra Classic is carried on by the new Terra blockchain without the UST stablecoin. With the aid of the LUNA community known as "LUNAtics," it will continue to expand and develop the top-notch UX and UI that propelled Terra Classic to second place in total value locked (TVL) at its height. Numerous DApps have consented to move to Terra in order to maintain their functionality.