Terra algorithmic cryptocurrency UST, pegged to the US dollar, is advancing on the scale and now ranks third in terms of total market capitalization.
Today, Terra’s fast-growing stable currency (UST) from the Terra ecosystem has crossed another key point, reaching a market value of more than $ 17 billion.
As of Tuesday, the UST has surpassed the stable BSC-based BUSD coin in market capitalization by more than $ 67 million.
To forge an equivalent amount of UST, the user must burn a spare agent such as Terra (LUNA).
UST brings headlines
This year, the Terra blockchain network has been the topic of the crypto world. After its participation in the wider market decline over the weekend, Terra’s original cryptocurrency LUNA had the biggest 24-hour jump.
Terra (LUNA) is currently trading 15% higher at $ 90, with a market value of $ 32 billion. Terra surpassed Cardan’s ADA and became the eighth largest cryptocurrency by market capitalization as a result of this development.
At the time of writing, the leading stabilcoin is Tether (USDT), with a market capitalization of $ 82 billion. USD Coin (USDC) is in second place with a market capitalization of nearly $ 50 billion.
Recommended reading Terra (LUNA) surpassed the popular crypto ether, dogecoin in the last 24 hours
LUNA total market cap at $31.10 billion on the daily chart | Source: TradingView.com
UST is formed by burning one terre (LUNA), the original cryptocurrency Terra network.
Other types of decentralized stabilcoin projects, such as Makerda’s DAI, rely on an excessive collateralisation procedure to maintain a token bond for the dollar.
The value of Terra’s stable money UST has grown exponentially over the last 509 days, or 16 months.
In addition, recent data show that UST has been on a stratospheric rise since mid-November, with a market capitalization that jumped 525 percent.
Lower trade volume
Despite outperforming BUSD in terms of market capitalization, UST trades at a much lower volume compared to its direct competitor, with Binance’s stable coin having $ 2.25 billion in trading volume in the last 24 hours compared to UST’s 431 , $ 78 million.
Terra, on the other hand, recently hit the headlines because of its Bitcoin acquisition. Luna Foundation Guard (LFG), its parent organization, procured approximately 30,000 BTC to serve as a link and reserve for its UST stable coin.
But a lot is happening behind the scenes. LFG intends to buy Bitcoin worth $ 410 billion.
However, similar to the wider crypto market in recent months, bullish statements do nothing to raise the price of LUNA.
The price of the token has fallen 12.5% in the last 30 days to $ 77.30, and has also retreated by 34.3 percent since reaching its all-time high of $ 119.18 on April 5.