Terraform Labs Donates 10 Million LUNA to LFG

The LFG describes its mission as one “dedicated to creating and providing greater economic sovereignty, security, and sustainability of open-source software and applications that help build and promote a truly decentralized economy.” Essentially, it is focused primarily on supporting Terra and the flagship stablecoin TerraUSD (UST).

The UST reserve supports the peg price of the stablecoin and is used to bring the price of UST back to the peg by swapping UST for other assets that capitalize the reserve. The foundation also offers funding and grants.

The donation from Terraform Labs comes at a time when both it and the LFG are in the news for various reasons. Not all of the news has been good, but the asset appears to be consolidating its growth over recent months well enough.

LUNA and UST Making All the Headlines

At the same time, Luna’s price has been the subject of much discussion. Terraform Labs co-founder Do Kwon has taken up a $1 million and $10 million bet, wagering that the price of LUNA would not fall below $88 in about a year’s time.

LUNA’s price went up by a whopping 17% towards the end of March and the start of April, and many wonders if it is sustainable. The LFG has been burning LUNA to mint its stablecoin UST, and that too has been discussed repeatedly.

Still, none of the incidents appear to be affecting LUNA and Terraform Labs too much. The project continues to march on with development and growth, and time will tell if it will prove to be one that is here to stay.

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