Terra’s UST surpasses Binance USD in market capitalization

The market capitalization of the algorithmic stablecoin Terra USD (UST) surpassed $17.53 billion, allowing it to overtake Binance USD (BUSD) and secure the third position in the ranking of stablecoins by market cap. Over the past 30 days, its figure has risen by almost 15%.

According to BitInfoCharts, LFG has acquired more than 42,530 BTC.

In January 2022, the Terra-backed company Terraform Labs created a non-profit organisation Luna Foundation Guard (LFG) and provided it with funding of 50 million LUNA. LFG’s aim is to develop the project’s ecosystem and bolster UST’s resilience.

In March, Terraform Labs directed LFG 12 million LUNA. In the same month the organisation began to establish a fund, designed to mobilise the liquidity in Bitcoin needed to support a stable UST price.

In April, Terraform Labs provided LFG with an additional 10 million LUNA. Earlier they also announced that they would invest $200 million in AVAX tokens of the Avalanche project, including to expand UST’s reserves.

As of writing, on LFG’s balance sheet are assets worth $2.38 billion. Of these, almost 70% ($1.66 billion) are Bitcoin. In addition, the reserve fund includes stablecoins USDC and USDT, as well as LUNA tokens.

According to BitInfoCharts, LFG has acquired more than 42,530 BTC.

Frax Finance is set to create a reserve crypto fund modeled on Terra.