Prior to this transaction, the Luna Foundation had already purchased approximately $140 million USDT as a purchase fund through its Binance address. The blockchain data by BitInfoCharts shows that between January 21st, 2022 and March 30th, 2022, the Luna Foundation has made a total number of 69 transactions with the total value of BTC surpassing $1.44 billion.
Currently, the Bitcoin address associated with the Luna Foundation has 30,727.9 Bitcoin, making it the 32nd most valuable Bitcoin address in the world. The organisation also offers LUNA tokens and relies on fundraising activities to attract new members.
The funds are actively converted to BTC as the primary asset used to keep its UST stablecoin stable. The use of innovative algorithmic solutions is the most effective method of controlling the number of stable coins in circulation, allowing the organisation to meet the needs of all users.
The Luna Foundation’s reserves must be expanded in order for it to continue to fund its UST and LUNA projects. On the one hand, large BTC reserves ensure the company’s ability to meet all financial obligations regardless of changes in UST demand or BTC/USD exchange rates. The funds’ interest, on the other hand, through its tokens, contributes to increased demand for LUNA among corporate and private investors.
As the demand for LUNA grows, it seems like the organisation will need to raise more funds and increase its reserves even more. As a result, both the stablecoin and cryptocurrency segments will be able to develop in a well-balanced manner. The recent price dynamics have confirmed that Terra (LUNA) is currently one of the major gainers in the top-10 crypto rankings.