The Terra Luna, a blockchain network that is built using cosmos is a stablecoin creation. Now, Terra (LUNA) blockchain’s algorithm stablecoin Terra USD (UST) has taken over Binance USD (BUSD) to become the third-largest stablecoin on the crypto market.
Terra USD (UST) which was launched in September 2020 is a USD-pegged stablecoin. Here if a user wants to mint Terra USD, then he is required to burn a reserve asset such as LUNA so that the user can mint an equivalent amount of UST.
Terra USD (UST)’s total market capitalization has climbed by 15% over the last 30 days as it is positioned at roughly $17.5 billion. This surge has pushed Terra USD (UST) to take over Binance USD as the third-largest stable coin. Binance USD’s market cap is slightly lower at $17.46 billion.
Currently, Terra USD is just behind Tether (USDT) which is at $82.8 billion, and also at the back of USD Coin (USDC) at $50 billion.
As per the reports, since mid-November, Terra USD is on a meteoric pump, and also the asset’s market capitalization has increased by 524%.
Though Terra USD has flipped Binance USD in terms of market cap, UST has declined in terms of volume when compared to Binance USD as Binance USD is currently at $2.26 billion over the last 24hrs and UST’s volume is trading at $431.79 million.
Recently, Terra’s co-founder Do Kwon was in the headlines after he promised that the project will raise $10 billion worth of Bitcoin to back its UST reserves.
At the time of writing, Terra USD (UST) is trading at $77.84 with a drop of 4.52% over the last 24hrs and also over the past 30 days the currency is down by 12.4%.