8 Dec 2021 01:37 GMT
The moon token, which has risen above 13,600% in just one year, is today the 10th largest cryptocurrency in the world by market capitalization.
Amid the fall of bitcoin and major digital currencies, the moon token has risen 33.2% in the last seven days, thus becoming the tenth largest cryptocurrency by market capitalization, above dogecoin and shiba inu, according to data from CoinGecko.
Launched in 2019, luna is the native token of the blockchain Terra, created by a South Korean firm called ‘Terra Labs’, which uses stablecoins (‘stablecoins’, in English, which maintain their value against the dollar and are not volatile) to run your payment system. The firm also uses the moon to stabilize the price of the stablecoin TerraUSD (better known by its acronym UST).
According to Fortune, one of the reasons why this cryptocurrency is experiencing a rise is the search, by crypto investors, for more efficient and less expensive options than ether, considered today the main system of smart contracts and decentralized finance (DeFi) . This has encouraged the growing use of alternatives such as luna or solana, with faster transactions and lower rates.
In late September, an update to Terra’s protocol to help sustain the UST further caused around 100 million luna tokens to be ‘burned’ in the following months, reducing the supply of that coin and also pushing up its value.
- Luna has appreciated above 13.600% in just one year, according to data from CoinGecko. It is currently the 10th largest cryptocurrency by market capitalization, with a total value of more than $ 26 billion. In immediate terms, last Sunday it reached its all-time high: $ 77.73 per unit.