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Terra Purchases $1.5 Billion Worth of BTC to Become Second-Largest Corporate Bitcoin Holder

The Luna Foundation Guard (LFG) has purchased an additional $1.5 billion of the leading cryptocurrency in its bid to accumulate Bitcoin worth $10 billion. The bitcoin purchased by LFG will be used to bolster the reserves of its popular stablecoin, known as U.S. Terra (UST).

Terra Purchases an Additional $1.5 Billion of Bitcoin

The LFG’s drive to attain $10 billion of bitcoin for its stablecoin reserves has seen it purchase an additional 37,863 bitcoins, worth approximately $1.5 billion.

The foundation’s latest bitcoin acquisition consisted of two over-the-counter deals this week. The first was a $1 billion OTC swap with crypto prime broker Genesis for $1 billion worth of UST. The second was a $500 million bitcoin purchase from Three Arrows Capital.

Terra Becomes Second-Largest Bitcoin Holder

Following its latest accumulation, the LFG now holds a total of 80,394 Bitcoins, worth approximately $3.5 billion at press time. LFG has now become the second-largest corporate holder of Bitcoin, overtaking Tesla.

According to Do Kwon, the co-founder and CEO of Terraform Labs, the LFG expects to reach its $10 billion Bitcoin reserve goal by the end of the third quarter.

On the Flipside

  • The declines being experienced across the crypto market, and the increasing reserves attained for U.S. Terra (UST) have earned it the position of 10th largest crypto, with a market cap of $18.7 billion.

The top 10 cryptos ranked by market cap. Source: Coinmarketcap

Why You Should Care

According to Kwon, keeping foreign reserves in the form of a digital native currency will be a winning recipe

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed to be financial legal or tax advice. Trading Forex, cryptocurrencies, and CFDs poses a considerable risk of loss

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Author

Milko Trajcevski has been in the crypto world for years, and as such has gathered both a skill for writing as well as a native prowess when it comes to understanding everything that occurs within that world. Through skilled writing and determination, he covers articles about cryptocurrency, tokens, blockchain, crypto-asset regulations, crypto wallets, exchanges, liquidity, DApps, forks, mining, security, and blockchain technologies. He is a professional with a track record of proven expertise within the crypto space.