In Q1, Do Kwon, the founder of Terra, outlined his company’s plans to purchase $10 million worth of Bitcoin. Since then, the Luna Foundation Guard (LFG), the treasury that backs the TerraUSD (UST) stablecoin, has been steadily accumulating Bitcoin.
Last week, Terra’s treasury announced the purchase of $230 million worth of bitcoin on April 6th, and a further $200 million of AVAX on April 8th. The sizable purchases have seen LFG become the nineteenth largest holder of Bitcoin.
Luna Foundation Holds Nearly 40,000 BTC
Over the weekend, the Luna Foundation Guard added an additional $173 million in bitcoin to its reserves through a series of acquisitions.
Its recent purchases have brought the total quantity of BTC held by the LFG to 39,897.98, worth an approximate $1.68 billion at today’s prices.
Top 100 Richest Bitcoin Addresses. Source: Bitinfocharts
In addition to accumulating bitcoin for its UST reserves, the Luna Foundation Guard also procured Altcoins for its UST reserves as the LFG announced the purchase of $200 million worth of Avalanche (AVAX) in its first ever Altcoin purchase.
On the Flipside
- As the LFG continues to accumulate bitcoin, Terra’s total value locked (TVL) has dropped from its high of $32 billion down to $27 billion.
- Technical indicators for Terra (LUNA) also exhibit a general bearish trend.
Why You Should Care
By purchasing $10 Billion in bitcoin, the Luna Foundation Guard hopes to “open a new monetary era of the Bitcoin standard.”