Terraform Labs has purchased another 37.800 bitcoins to continue its strategy of supporting the value of its algorithmic stablecoin TerraUSD (UST).
Blockchain ecosystem developer Terra, one of the most important today, is preparing to launch its first NFT aggregator, to boost the non-fungible token space within its ecosystem and revolutionize the way users interact with these growing markets.
On its Twitter account, the blockchain reported that its NFT ecosystem is booming, with many projects related to this market emerging daily. However, it also noted that the need of its users to address multiple NFT markets has driven the idea of developing an NFT aggregator, which facilitates searches and interaction with the many existing platforms. Because of this, the blockchain wants to offer a solution that integrates the different NFT markets in one place.
Their NFT aggregator, called TFM NFT Aggregator, will help users sort NFTs by rarity or price. It will also allow the direct purchase of these digital assets from its platform.
Last week, Terraform Labs invested more than $1.500 billion to acquire 37.863 new bitcoins, adding to its balance sheet in this cryptocurrency, where it already holds more than 80.300 BTC.
According to the Dashboard platform, where Terraform Labs shows a detailed breakdown of the cryptocurrency reserves held by the Luna Foundation Guard (LFG), the organization's current Bitcoin balance represents 92,9% of its total reserves.
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More than 80.000 BTC, according to Luna Foundation
Last week, the Luna Foundation Guard reported on its Twitter account that it had added an additional 37.863 bitcoins to its balance sheet, worth approximately $1.500 billion. With this move, the organization almost doubled its BTC reserves.
Luna Foundation Guard is a decentralized organization created by Terraform Labs to protect and support its blockchain ecosystem.
The organization used its algorithmic stablecoin, TerraUSD (UST) to exchange $1.000 billion worth of UST to BTC on the OTC market. The additional $500 million from the recent bitcoin purchase was invested by the organization through cryptocurrency hedge fund Three Arrows Capital.
With this new acquisition, Terraform Labs follows MicroStrategy as the second-largest institutional investor in Bitcoin. The business intelligence company led by Bitcoin enthusiast and advocate Michael Saylor owns 129.218 BTC, while Terraform Labs owns, through the Luna Foundation, a total of 80.390 BTC.
Source: Moon Foundation Guard
LUNA and ALGO are also part of Terraform Labs reserves
Luna Foundation Guard shows that other cryptocurrencies, such as Terra (LUNA) and Algorand (ALGO), are also part of its UST reserves. According to the organization’s data, 3,7% and 3,5% of Terraform Labs’ reserves are made up of LUNA and ALGO, respectively.
Previously, the decentralized organization held other stablecoins, such as Tether (USDT) and USD Coin (USDC), in its reserves.
Why does Terraforma Labs buy bitcoins?
Do Kwon, CEO of Terraform Labs, reported earlier this year that he plans to invest $10.000 billion in bitcoin to support his flagship stablecoin UST. Kwon’s goal is to turn Bitcoin into a reserve standard and make LFG the largest holder of the cryptocurrency in the entire ecosystem.
On the other hand, although Terraform Labs has purchased a considerable amount of bitcoins in the last week, the price of this cryptocurrency has plummeted by more than 8%. Bitcoin is trading at a value of $34.450 per BTC; its lowest level since last February.
Likewise, the value of LUNA, the native cryptocurrency of the Terra blockchain, has lost 18% of its value in the last week, trading around $66 per unit currently. LUNA and UST continue to rank as the 9th and 10th largest cryptocurrencies in the market by capitalization.
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Continue reading: Why did Terra (LUNA) buy 40.000 Bitcoins?
