Search
Close
  • Home
  • Business News
  • Crypto News
    • Binance
    • Bitcoin
    • Cardoso
    • Dogecoin
    • Ethereum
    • NFT X Metaverse
    • Shiba in
    • Other alt coins
  • Market News
  • Technology News
  • Tools
    • Crypto Table
    • Exchange Rate
    • Currency Converter
Menu
  • Home
  • Business News
  • Crypto News
    • Binance
    • Bitcoin
    • Cardoso
    • Dogecoin
    • Ethereum
    • NFT X Metaverse
    • Shiba in
    • Other alt coins
  • Market News
  • Technology News
  • Tools
    • Crypto Table
    • Exchange Rate
    • Currency Converter
Search
Close
Home Crypto News

By The Numbers: Spotlight On LUNA’s Growing Bitcoin Reserves

GentrySTACK by GentrySTACK
March 30, 2022
in Crypto News, Other alt coins
153
SHARES
1.9k
VIEWS
Share on FacebookShare on TwitterShare on Whatsapp

RelatedPosts

More on the chatter that Amamiya may be the next BOJ Governor – he refused to comment

Newsquawk week ahead: Blinken in China; U of Michigan; RBA, BOC minutes

Heads up for BOJ Governor Kuroda to appear in parliament today from 0050GMT (8.50pm US ET)

The nonprofit organization focused on the Terra ecosystem Luna Foundation Guard (LFG) now holds almost 28,000 bitcoin, which translates to $1.3 billion out of its $10 billion total target aimed to back TerraUSD (UST).

Related Reading | Terra (LUNA) Will Buy $10 Billion Worth Of Bitcoin. Here’s Why

The @LFG_org now #hodl 27,784.98 #Bitcoin at a total balance of $1,312,478,801.33 USD in the Hope Reserve.

— LFG_Reserve (@LFG_Reserve) March 30, 2022

Why Terra Is Buying BTC

“The reason why we are particularly interested in Bitcoin is because we believe that [it] is the strongest digital reserve asset,” Terra founder Do Kwon told Bloomberg and added that “UST is going to be the first internet native currency that implements the Bitcoin standard as part of its monetary policy.”

The algorithmic stablecoin UST is Terra network’s most popular native token because of the several benefits it provides through its minting mechanism.

Two weeks ago, Do Kwon announced they had chosen to build BTC reserves to back up UST. This prevents the stablecoin from crashing for not having enough collateral backing. The accumulation process started on Monday and has moved fast.

Data from the latest Arcane Research weekly report shows that “Luna Foundation Guard has now built BTC reserves of 27,785 BTC after adding 18,221 BTC over the last week.” The organization has used the funds raised from burning Luna to mint TerraUSD (UST) to make the purchases.

The news has been the reason for great attention and excitement as Bitcoin supporters see it as a sign of the coin becoming the new digital world reserve currency, as many other protocols might start to do the same. The accumulation has not only lifted Terra’s LUNA to the upside, but it is likely behind the recent crypto market uptrend and Bitcoin’s yearly high.

“This massive BTC accumulation is likely contributing to lifting the market and should be monitored closely once it nears its end. Pay attention to the ETH address and BTC reserve address,” notes Arcane Research.

LUNA has reacted to the upside by testing an ATH at $106.15 and surpassing it. Moreover, Terra’s total value locked (TVL) grew from $26 billion to an all-time high of $28.7 billion, which makes Terra the second-largest DeFi protocol by TVL.

Luna
LUNA is trading at 107 USDT in the daily chart | Source: LUNAUSD on TradingView.com

Luna’s BTC Reserves Day By Day

LFG’s confirmed address shows how their balance changed from the 9,564 BTC previously held by the organization since late January to the latest 27,785 BTC.

The trading firm Jump Trading LLC has been in charge of executing the BTC trades. Luna Foundation Guard started sending the firm $125 million worth of USDT every day of the week and $160 million last Saturday. The persistent accumulation has moved the BTC price up, and the organization is expected to purchase a lot more to reach an initial $3 billion target and a $10 billion mark in the future.

As per the report, in the last eight days, LFG has already deployed 44% of the original stablecoin reserves on their wallet destined to buy bitcoin for its reserves. This leaves current holdings of $988 million worth of stablecoins, and data points out that around $800 million more could be raised by converting UST to USDT.

Illustrated in the chart below, Arcane believes that if the buying spree continues at similar rates and the $800 million is not converted, the organization will finish building its bitcoin reserves by April 6th.

“Assuming a stable BTC price of $47,000 until April 6th, LFG will have 48,800 BTC in its reserve once finished,” the report adds. But if LFG were to use those $800 million of UST reserves as well to buy BTC, then Arcane forecasts the purchases to end around April 14th, with a reserve of roughly 65,000 BTC (buying the coin at $47k).

Analysts are looking closely at these movements as a bullish pattern could realize if BTC breaks through the $48k level. If these purchases are in fact moving BTC’s price up, the continuation might turn into a future uptrend of the entire crypto market.

Related Reading | Is Terra (LUNA) Behind The Recent Bitcoin Surge?

 

Share61Tweet38Send
GentrySTACK

GentrySTACK

Related Posts

More on the chatter that Amamiya may be the next BOJ Governor – he refused to comment

February 5, 2023

Newsquawk week ahead: Blinken in China; U of Michigan; RBA, BOC minutes

February 5, 2023

Heads up for BOJ Governor Kuroda to appear in parliament today from 0050GMT (8.50pm US ET)

February 5, 2023

JPMorgan: 72% of Institutional Traders Surveyed ‘Have No Plans to Trade Crypto’

February 5, 2023

Single whale withdraws over $120M in Bitcoin from crypto exchange Gate.io

February 5, 2023

Australia’s CBA simplifies financial reporting after sale of wealth management unit

February 5, 2023

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Search

No Result
View All Result
  • Trending
  • Comments
  • Latest

Is The Ethereum Merge About To Have A Confirmed Delay?

April 15, 2022

Data Leak At Unchained Capital, NYDIG, Swan & BlockFi. At The Same Time

March 21, 2022

Fantom Foundation Responds To Andre Conje’s Departure

March 6, 2022

The Andy Milonakis NFT Show, EP. 20 – Goat Soup’s Dark Night Of The Soul

April 26, 2022

IRA Financial Breach: Hackers Snatch $36 Million From US-Based Fintech Startup

0

Bitcoin Hash Rate Balloons To Record High — Will Price Go Up As Well?

0

Ethical Blockchain: Are Crypto, NFTs And DeFi Bad For The Environment? Here’s Why They’re Not

0

Mexican Billionaire Says It Again: Buy Bitcoin Today — And Thank Him Later?

0

More on the chatter that Amamiya may be the next BOJ Governor – he refused to comment

February 5, 2023

Newsquawk week ahead: Blinken in China; U of Michigan; RBA, BOC minutes

February 5, 2023

Heads up for BOJ Governor Kuroda to appear in parliament today from 0050GMT (8.50pm US ET)

February 5, 2023

JPMorgan: 72% of Institutional Traders Surveyed ‘Have No Plans to Trade Crypto’

February 5, 2023

Categories

  • Binance (49,854)
  • Bitcoin (93,246)
  • Business News (98,713)
  • Cardoso (41,248)
  • Crypto News (49,106)
  • Dogecoin (41,248)
  • Ethereum (41,624)
  • Market News (86,477)
  • NFT X Metaverse (41,248)
  • Other alt coins (41,294)
  • Others (2)
  • Shiba in (41,248)
  • Technology News (85,903)

Coin Tori is the #1 Crypto and business blog you can always trust to feed you with the necessary infomation.

Facebook Twitter Linkedin Instagram

Categories

  • Business News
  • Crypto News
  • Technology News
  • Bitcoin
  • Binance
  • Cardoso
  • Other Alt Coin
  • Dogecoin
  • Ethereum
  • NFT X Metaverse
  • Shiba in
  • Market News
  • Others

Tool

  • Crypto Table
  • Exchage Rate
  • Currency Converter

All right reserved - Cointori

Designed By Gentry Stack

We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept All”, you consent to the use of ALL the cookies. However, you may visit "Cookie Settings" to provide a controlled consent. Read More
Cookie SettingsAccept All
Manage consent

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
CookieDurationDescription
cookielawinfo-checkbox-analytics11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checkbox-functional11 monthsThe cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checkbox-necessary11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-others11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-performance11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy11 monthsThe cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
Functional
Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
Performance
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
Analytics
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
Advertisement
Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.
Others
Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet.
SAVE & ACCEPT
bitcoin
Bitcoin (BTC) $ 22,972.15 1.60%
ethereum
Ethereum (ETH) $ 1,633.15 2.07%
tether
Tether (USDT) $ 1.00 0.05%
bnb
BNB (BNB) $ 327.74 0.97%
usd-coin
USD Coin (USDC) $ 1.00 0.14%
xrp
XRP (XRP) $ 0.400161 2.93%
binance-usd
Binance USD (BUSD) $ 1.00 0.37%
cardano
Cardano (ADA) $ 0.393257 1.71%
dogecoin
Dogecoin (DOGE) $ 0.092352 3.57%
matic-network
Polygon (MATIC) $ 1.21 3.75%
  • Home
  • Currency Converter
  • Business News
  • Crypto News
  • Binance
  • Bitcoin
  • Cardoso
  • Dogecoin
  • Ethereum
  • NFT X Metaverse
  • Other alt coins
  • Shiba in
  • Market News
  • Others
  • Technology News
Menu
  • Home
  • Currency Converter
  • Business News
  • Crypto News
  • Binance
  • Bitcoin
  • Cardoso
  • Dogecoin
  • Ethereum
  • NFT X Metaverse
  • Other alt coins
  • Shiba in
  • Market News
  • Others
  • Technology News