According to Terrascope, the number of LUNA tokens in circulation has reached 1.15 trillion. LUNA is trading against BUSD at $0.000019.
Earlier Thursday, the circulating supply of Terra’s native asset, Luna, exploded due to an intensifying behavioural cycle.
As of around 11:15 a.m. EST on May 13, the supply of LUNA was approximately 25 billion. Currently, this figure is roughly 401.6 billion, an increase of over 225 billion.
LUNA token’s price plummets. Source: CoinCulture
The situation relates to the troubled algorithmic stablecoin TerraUSD (UST) and the method users may swap UST for LUNA. When investors redeem UST for Luna, the supply of Luna increases, and the tokens are likely to be sold on the market. This causes the price of Luna to decrease even more since the next person to redeem their UST produces even more Luna, further depressing the market.
Consequently, LUNA’s price dropped drastically during the last hour, reaching a low of $0.00004. The current market price for the token is $0.00005. The lowest purchase order shown in Binance’s LUNA/USD order book is $0.00002 (USD).
Binance announced the suspension of LUNA trading on the majority of its spot pairings, including LUNA/BTC and LUNA/USDT, after this news. Binance will keep on supporting LUNA trading against BNB and UST.