Topic: Terra (LUNA) Market Analysis (Read 140 times)

Recently, the price of LUNA has been growing quite steadily, and against this background, the value of the assets of the Terra ecosystem participating in the staking has already reached $30.115 billion.
And now Terra surpasses Ethereum 2.0 ($27.921 billion), behind Solana ($39.315 billion).

Here, some consider it possible to achieve the LUNA price of $ 500 already this year, I don't think it's possible, although the token has grown more than tenfold over the past year, but simply when reaching $ 500, the capitalization of the coin will reach more than $ 400 billion.

https://u.today/luna-millionaire-expects-token-to-reach-500

When OP posted this about Luna, price was around $18. Those that have taken it from 2019 to 2020, they're the winners of this increase. It's a two years without any of that much movement for Luna and then all of the sudden when 2021 came, all of the development became aggressive.
It is currently on its all-time high and those that have bought it under its current ATH price are also winners. As the typical saying, buying low and selling high, do not forget to sell some for your profit.

Terra (LUNA) today updated its ATH reaching the $100 mark and with a capitalization of more than $35 billion entered the top ten being currently in ninth place, during the week the growth of the token was more than 55%.

i am still remember in december LUNA price still below 0,5$ and unfortunately  i didnt bought it. Today i see terra Luna ecosystem growing alot and the project fundamental being stronger and stronger than before.With current price around $7, it be gold opportunity to hold it for long time. Just remember Coinbase still hasn't list it yet and possible in future it will happen.

Terraform Labs has raised $150 million from several major investors, including Arrington XRP Capital, Pantera Capital, Galaxy Digital and BlockTower Capital. According to the press release, the obligations in the amount of $150 million are intended for the Ecosystem Fund. https://techcrunch.com/2021/07/16/crypto-investors-like-terraform-labs-so-much-theyre-committing-150-million-to-its-ecosystem/

call me crazy, but seems that price is around 20 USDT, not 1.866 as you wrote here? would you sell yours for $2, I would buy for sure

nevertheless, did not had the time to go through whole project, it is close to $10B, which is pretty solid, and one has to be cautions with it, check locked value on the project and what are further possibilities before investment

Luna is a good coin and I have a good feeling that it will gain more in this year. Luna also tries to become a stable coin and replace usd on the internet. this is a good idea because I have not seen any project try to replace such an influence like that. When people create a stable coin, they always use USD to back behind it, for example is usdt. But there are rumors that USDT is not transparency and in fact, we do not know that Tether limit has enough usd in the real life or not. They keep printing more usdt during the big rally like that.

Thus, if a big investigation hit USDT, there might be a huge drop in the cryptocurrency market because USDT has the highest trading volume.

I. Introduction
Terra Protocol, an asset stabilization protocol, along with the synthetic asset protocol, Mirror Protocol and the DeFi savings protocol, Anchor Protocol are the three major DeFi protocols launched by Terraform Labs.
LUNA is currently circulated within the Terra Alliance’s payment alliance, where stable asset payments are mainly made through the CHAI and Meme Pay payment tools. CHAI is a key product of Terra’s stable asset ecosystem, bringing transaction volume and users to Terra.
Mirror uses this protocol to mint and trade synthetic assets such as stocks, futures, gold, and exchange funds. Users can directly trade various top global assets on it, with 21 synthetic assets that are currently online.
The Anchor Savings Protocol, a new DeFi savings product jointly announced by Cosmos, Polkadot, Terra and Solana, is designed to provide a safe and reliable interest rate for stable asset deposits. The protocol will provide a stable assets savings product involving the protection of principal that accepts Terra deposits and pays stable interest.
Terra’s stable assets TerraSDRs achieves price stability by adjusting supply according to demand fluctuations:
When demand surges, causing Terra prices to rise, the system will begin balancing operations to ensure that assets do not deviate from their fixed exchange rates. As demand increases, the supply of tokens needs to increase to offset that demand. The protocol solves this problem by minting and selling Terra to increase the market supply of tokens.
When an arbitrager gains a risk-free profit of 1 LUN SDR by purchasing a newly minted TerraSDR, he can immediately sell it for profit. Luna is basically using the newly minted Terra as collateral to regain that value. This mechanism, known as seigniorage, represents the profit from minting Terra (almost zero minting cost).
If Terra’s price is lower than the fixed price, the supply of Terra needs to be reduced to maintain the fixed price. The shrinkage model is handled by the protocol by minting LUNA and providing 1 SDR of the LUNA for 1 TerraSDR with a Terra valued at less than 1 SDR.
The declined value is therefore absorbed by the LUNA holders, and as the supply of Luna is diluted, the value is transferred from Luna’s collateral assets to raise Terra’s price.

II. Tokenomics
LUNA is Terra’s underlying deflationary, issuing a total of 1 billion copies, mainly for:
1. For the issuance of stable assets (TerraSDRs), price stabilization mechanisms, and network governance;
2. Acts as Terra’s asset stabilization engine and maintains the collateral of stable assets in the ecosystem through an algorithm, with system fee earnings owned by the LUNA holder;
3. LUNA can be used as a trading medium throughout the Terra ecosystem.
The distribution of LUNA is as follows:
10% assigned to Terraform Labs to facilitate research and development of Terra projects
20% allocated to early team members and investors to compensate the team members and investors who contributed to the project
20% is allocated to the Terra Alliance to promote early adoption and use of Terra, and this pool is used to set incentives, mainly for market discount schemes (e.g., user coupons) and volume incentives for partners.Terraform Labs will task managers to obtain input from the community to best allocate resources from the pool
20% for stability reserve, which will be used to manage the early stability of the network near launch
4% used to create liquidity during launch, in which LUNAs are sold near genesis to allow everyday users to use and interact with them
26% allocated to investors to obtain funds for Terra project development

III. Core Team
Daniel Hyunsung Shin，Founder &CEO
Daniel graduated from Wharton Business School with a Bachelor of Economics and is co-founder and former CEO of TicketMonster, an e-commerce platform in South Korea. And also, is a co-founder of Fast Track Asia, a company builder.
Do Kwon, Co-Founder
Kwon graduated from the Department of Computer Science at Stanford University. Former founder and CEO of Anyfi. During his tenure in Anyfi, the Kwon Group invented several key patents for the company.
Nichola Platias, Director of Research
Nicholas studied mathematics and computer science at Stanford University and won many medals in the Mathematics Olympics. He developed algorithms and distributed systems at Nest and RelatelQ, and later created Guru Labs.

IV. Financing Situation
Terraform Labs are making three sales:
Seed sale: with unit price of 0.16USDT, and about 192 million tokens. Lockup for 10–18 months, with initial liquidity is 30%.
Private sale round: with unit price 0.80USDT, and about 18 million tokens. Lockup for 3 months and then unlocked for 6 months for linear release.
ICOHolder data show that the Terra project has undergone 14 rounds of financing, raising a total of US$58 million.

V. Situation of the Secondary Market
LUNA currently has a price of 1.866 USDT on March 31, with a circulation of 390 million pieces, a circulation market value of 7.3 billion USDT, wherein the market value is ranked 18th. Currently launched on MXC Exchange and other platforms.

VI. Application Scenario Analysis of Terra (LUNA)
The practical scenarios for LUNA come from:
1. In mining, the amount of LUNA represents the mining scale and pricing rights
2. E-Commerce Settlement
3. Minting tax and transaction fees
4. Miner Incentives
The selling pressure of LUNA comes from:
1. The unlocking or cashing out of seed and private sale
2. Possible cash arbitrage for Terraform Labs
3. Possible early unlocking and cashing out of early team members

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