What Is Terra LUNA Coin?
Terra is a blockchain protocol that offers a stable payment system and open financial infrastructure. The whole project is supported by stablecoins maintained by a seigniorage mechanism, and tied to different fiat currencies. They all are stabilized by this project's own currency, the LUNA token.
Terra Crypto Brief History
In January 2018, Terraform Labs that manages the Terra project appeared. After that, its developers were engaged in preparations for the launch of the LUNA token. From January 30 to March 1, 2019, there was an ICO that raised $62 million.
In the middle of 2019, Terraform co-founder Daniel Shin launched Chai Pay, a service built on the Terra platform. The Terra (LUNA) token became available on cryptocurrency exchanges in July 2019.
How Does LUNA Cryptocurrency Work?
LUNA is a staking-oriented coin. Its main aim is to avoid the exchange rate volatility in the payment system. It operates as a counterparty for everyone that converts Terra to LUNA. Volatility is automatically flipped from the Terra price to LUNA.
This coin provides stability to the cost of stablecoins, modulates validator incentives, and operates as a voting force to control the network. These functions are performed by locking in value in the ecosystem, and this is accomplished by deploying LUNA. This cryptocurrency serves as an internal asset of the whole ecosystem.
Large and specialized LUNA holders can bid on their coins for getting validators of this network, and smaller Terra crypto holders can delegate their share to validators. So, LUNA crypto participants are exposed to the risk of maintaining a long-term position on an unstable coin.
Stacking remunerations create incentives to maintain lasting interest in keeping and placing LUNA to protect the network.
First, stacking remunerations are offered to validators, who receive a fee for maintaining their validator and securing their transactions. Then delegates receive stacking rewards which they can withdraw individually.
The payment a delegate receives from stacking is proportional to the size of their share and is structured so that the remuneration increases as the volume of the transaction gets higher.
So, Terra (LUNA) crypto is an asset for long-term investments. Its holders believe in the growth and success of this project for many years.
LUNA Token States
- Unbonded. Tokens can be easily transacted like any other currencies with no limitations.
- Bonded. Coins are staked and generate rewards for their holders during the blocking process. Once it's locked, it's impossible to trade with LUNA, its kept in the ecosystem unchanged.
- Unbonding. The stage of stacking of LUNA tokens. This stage continues for 3 weeks. During this period, you will not receive stacking rewards or trade LUNA tokens. After the unlock period, coins get to the initial state again.
Where To Store LUNA?
The safest way to store the LUNA coin is the user-friendly Lunie.io wallet created by the LUNA developers. It offers instant payments, stacking, and network management. This program is fully decentralized. So, private keys are stored only by its user. Lunie.io is available for Android and iOS phones and tablets and as a web version.
LUNA Crypto Price Prediction
The project is constantly improving. Recently, its developers have released Terra Station for Linux, started partnering with Velo Labs to develop a more protected payment platform, and launched Anchor, a new-generation protocol.
All these improvements make the Terra coin price rise. For example, WalletInvestor experts believe it can reach $34.021 in one year.
Today LUNA coin price is 14.77 USD.
The Terra project and the LUNA crypto coin were created for investors looking for certainty in crypto payments and fear of extreme volatility of making those payments. The entire ecosystem is easily scalable and growing, with a huge user base in countries worldwide to prove it.
How To Buy LUNA Coin?
Terra (LUNA) coin is available on all the popular exchanges, including StealthEX. This crypto exchange lets users exchange LUNA for BTC, LTC, ETH, and more than 350 digital assets. No need to provide many details for this transaction. The process is secure and doesn't take much time, just follow these easy steps:
- Choose the pair and the amount for your exchange. For example, BTC to LUNA.
- Provide the recipient address to which the coins will be transferred.
- Move your cryptocurrency for the exchange.
- Receive your Terra coins.
Also, you can study a detailed article with an exchange guide or watch a tutorial video on our YouTube channel.
And one more thing, StealthEX allows you not only to get coins fast but also to choose a floating or a fixed rate.
The views and opinions expressed here are solely those of the author. Every investment and trading move involves risk. You should conduct your own research when making a decision.