The post Terra (LUNA) Price Prediction | Is LUNA a Good Investment? appeared on BitcoinEthereumNews.com.

Terra (LUNA), one of the major cryptocurrencies, saw its value plummet by 100% due to the algorithmic stablecoin protocol TerraUSD (UST) losing its peg to the US dollar on May 13, 2022. By the end of the month that year, developers relaunched the Terra blockchain and introduced a new token with a supply of 1 billion coins. The original token now trades as LUNC, while the new one retains the name LUNA. Initially priced at around $19 after the relaunch, the new token has since dropped by nearly 98%. As of July 2, 2024, Terra LUNA was trading at $0.405 and held the 164th position by market capitalization among cryptocurrencies.  The LUNA future looks uncertain. What is the Terra LUNA forecast for the coming years? What is Terra LUNA Terra is a blockchain platform designed to create algorithmic stablecoins that differ from traditional stablecoins by being decentralized and not backed by fiat reserves. The pricing of algorithmic stablecoins is managed through smart contracts, with their peg to USD primarily controlled by algorithms. Through these algorithms, stablecoins track the price of their underlying assets (usually fiat currencies) and maintain price stability using a defined set of rules or software. LUNA serves as Terra’s native token used for platform governance and staking, which helps minimize volatility within the protocol. Users stake LUNA by providing them to transaction validators on the blockchain, thereby reducing transaction fees. Terra crypto news After Terra’s collapse, trust in it within the crypto community has waned. In September 2022, a Seoul court issued an arrest warrant for Do Kwon, CEO of Terraform Labs, citing violations of local capital markets laws. In February 2023, the U.S. Securities and Exchange Commission (SEC) accused Terraform Labs and CEO Do Kwon of orchestrating a multi-billion dollar securities fraud scheme. In April 2024,…

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Filed under: News - @ July 5, 2024 6:14 am