Bitcoin has broken above $43K and maintained an upward trend following news that the Terra Network invested millions in BTC.<\/p>\n
The Terra network is a dual-network platform that\u2019s home to both the LUNA<\/a> token and the UST stablecoin family.<\/p>\n Terra has found itself in the spotlight among BTC investors due to the network\u2019s plans to invest a whopping $10 billion in BTC to back its new USD stablecoin.<\/p>\n Do Kwon, Terra co-founder, Tweeted, \u201cIt’s not 10B today – as UST money supply grows, a portion of the seigniorage will go to build BTC reserves bridged to the Terra chain.\u201d<\/p>\n He added: \u201cWe have 3B funds ready to seed this reserve, but technical infrastructure (bridges etc.) is still not ready yet.\u201d<\/p>\n It isn\u2019t clear exactly how much of the $3 billion has already been purchased by Terra, but the Telegram channel WhaleAlert <\/a>noted various $100 million UST transfers to centralized exchanges such as Binance.<\/p>\n As of writing, BTC is up just over 2% in the last 24 hours, and its price has stabilized on the hourly chart just under $43,000.<\/p>\n As is often the case when BTC moves, it\u2019s followed by alt-coins, ETH, SOL, and BNB are up over 2% in the last 24 hours.<\/p>\n Cardano (ADA) has outperformed all other major alt-coins, having spent weeks languishing below $1. ADA has broken above the psychological barrier following a near 20% increase in the last 24 hours.<\/p>\n Although Terra is being held up as the primary driver of BTC\u2019s positive move, the network\u2019s native token LUNA hasn\u2019t made a major move.<\/p>\n LUNA has lost around 0.5% of its value in the last 24 hours and is currently trading at $93.<\/p>\n Kwon doesn\u2019t appear to be too concerned with LUNA\u2019s short-term reaction to the BTC buying spree; instead, he\u2019s focusing on Bitcoin, judging by a Tweet from him today that read: \u201cPlease short #btc.\u201d<\/p>\n Bitcoin is often talked about as digital gold because its supply is limited to 21 million, giving it a deflationary nature.<\/p>\n The Terra team decided that the best way to ensure the price stability of the network\u2019s UST stablecoin was to back its value using a huge BTC reserve.<\/p>\n According to Kwon<\/a>, the BTC reserve will be used to prevent short-term redemptions of UST, therefore guaranteeing the stablecoins all-important \u2018stability.\u2019<\/p>\n For now, Kwon hasn\u2019t given a date for when Terra will purchase the next batch of BTC, but if he does make an announcement, we can expect it to come through his official Twitter account. <\/a><\/p>\n Terra has only just started buying BTC, with billions of dollars earmarked for future prices; this could be the first of many Terra-induced BTC pumps. If you don\u2019t want to miss the next move up, this could be an excellent time to add some BTC to your wallet with Swapzone\u2019s help.<\/p>\n Swapzone compares the best exchange rates, transaction speeds, and reviews to find you the best exchange deal. You can swap dozens of cryptos using the site\u2019s smooth interface, which provides you with an estimated exchange rate before you commit to the swap.<\/p>\n Let\u2019s say you want to swap some USDC into BTC; simply follow these steps:<\/p>\n Good work! You\u2019ve added some BTC to your wallet at the lowest transaction fee on the market.<\/p>\n\n\nBTC Lifts Crypto Market<\/h2>\n
Why Is Terra Buying So Much Bitcoin?<\/h2>\n
Use Swapzone To Pick Up Some BTC<\/h2>\n
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