Luna Foundation Guard bought $1 billion worth of bitcoins
The funds will be used to create a reserve fund to maintain the stability of the UST stablecoin
28.03.2022 - 08:40
629
2 min
0
What’s new? The Luna Foundation Guard (LFG), a non-profit organization, has bought $1 billion worth of bitcoins as part of increasing the stability of the algorithmic stablecoin UST. This was stated by Anthony Pompliano, the founder of venture capital company Morgan Creek Digital, on Twitter.
“Terra has officially bought $1 billion of bitcoin to back their UST stablecoin with the bitcoin standard. They will continue buying billions more in the coming months.”
What is known about LFG’s plans? The $1 billion bitcoin purchase is designed to increase the stability of UST by creating a reserve fund. The model involves providing liquidity in bitcoin to maintain a stable UST price. If the price of the stablecoin falls below $1, LFG will be able to place the accumulated assets in the BTC/UST pool and provide exchanges with 1 UST in exchange for $0,98 in bitcoin.
The Luna Foundation Guard (LFG), a non-profit organization, is dedicated to promoting open-source technologies and has two main tasks: supporting UST and developing the Terra ecosystem. Terra is a network of blockchains designed to create stablecoins with collateral in the native Luna token. For example, the mechanism for issuing a UST stablecoin involves the burning of LUNA’s native coins at the appropriate cost.
The LFG previously conducted the burning of 4 million LUNA tokens to acquire the external collateral of the UST stablecoin.
Useful material?
Telegram 
Twitter Market
The company’s unrealized profits from investing in its first cryptocurrency approached $14 billion
Nov 19, 2024
Incidents
The search, the reason for which was not announced, took place a week after the election, the results of which Polymarket users predicted quite accurately
Nov 14, 2024
Market
Analysts point to the growing popularity of the first cryptocurrency as a safe haven asset
Nov 13, 2024
Market
The product will begin trading on the Swiss Exchange on November 19
Nov 12, 2024
Market
The company’s unrealized profits from investing in the first cryptocurrency approached $13 billion
Nov 12, 2024
Market
The company predicts that the rate of the first cryptocurrency will grow to $200 000 by the end of next year
Nov 11, 2024
Cryptocurrency rates
-
Bitcoin
$98 062
BTC
+0.46%
-
Ethereum
$3 296.64
ETH
-1.59%
-
BNB Smart Chain
$579.4
BSC
+1.23%
-
Ripple
$1.41
XRP
+24.25%
-
Dogecoin
$0.395749
DOGE
+1.75%
-
Cardano
$0.891227
ADA
+11.48%
-
Bitcoin Cash
$476.68
BCH
-3.6%
-
Polkadot
$6.07
DOT
+2.31%
-
Stellar XLM
$0.288454
XLM
+19.3%
-
Litecoin
$89.36
LTC
-0.6%