Bitcoin
$ 30,297
Litecoin
$ 71.63
Ethereum
$ 2,042.6

My Top Cryptocurrency to Buy Right Now


Cryptocurrencies have lost the shine they had in 2021. Most of them have dropped by more than 40% from their all-time highs and the volume of coins being traded every day has fallen. Still, amidst the chaos, some cryptocurrencies will continue doing well. In this report, I will explain why Terra is the best cryptocurrency to buy right now.

What is Terra?

Terra is a leading blockchain project that was started by a group of South Korean software developers. Their goal was to use the inspiration of Bitcoin to build a new form of money that is simple to use and safe. Their first product using its network was a platform known as Chai, which has grown to become one of the most popular fintech app in the country.

Today, Terra is known mostly for its algorithmically-adjusted stablecoins. A stablecoin is a cryptocurrency that is backed by another stable asset like the US dollar. Unlike Tether and USD Coin, Terra’s stablecoins are affected by market forces of demand and supply. When demand for Terra is high and supply is low, its prices increase and vice versa.

ITerra USD is the fourth-biggest stablecoin in the world with a market cap of over $16 billion. It also has TerraKRW (KRT) which has a market value of about $30.7 million. 

Terra has been growing

Terra’s governance coin is known as LUNA. According to CoinGecko, it has a market cap of over $35 billion, making it the eighth biggest coin in the world.

Terra, like other blockchain projects like Solana and Near, has raised billions of dollars from venture capital firms. In February, the developers raised $1 billion through a token sale. At the time, the developers said that they would use these funds to build a Bitcoin reserve for its stablecoins.

And in March, the developers announced that they would buy Bitcoin worth $10 billion and Avalanche worth $200 million. The goal of these purchases is to let them back their stablecoins, which have become very successful.

Terra ecosystem

In addition to Terra’s ecosystem, another reason why it has become my best cryptocurrency to buy is that its ecosystem has been growing. 

While Terra is known for its stablecoins, the reality is that it is widely used in other places as well. The most notable of them is the fact that Terra is used as a platform for building decentralized finance (DeFi) applications.

The success of Terra’s stablecoins and LUNA in the marketplace has attracted more developers to the ecosystem. In fact, according to DeFi Llama, Terra has become the second-biggest platform for DeFi developers after Ethereum. And if the trend continues, there is a likelihood that it will pass Ethereum in the coming years.

Terra has a total value locked (TVL) of $28 billion. Some of the biggest applications in the ecosystem are some of the largest in the industry.

For example, Anchor Protocol is the biggest DeFi platform built using Terra’s technology. It has a TVL of $15 billion and is still in a strong growth path. It is followed by Lido, which has a TVL of $8.22 billion, and Astroport which has $1.6 billion. Other leading DeFi apps built using Terra are Stader, Mirror Protocol, and Prism Protocol among others.

What is notable is that 11 apps in Terra’s ecosystem have a TVL of more than $100 million. This is a substantial number considering that its ecosystem is still small and growing.

Terra price performance

Another reason why Terra is my best cryptocurrency is that its performance tends to be uncorrelated with Bitcoin and other coins. For example, as shown below, LUNA jumped to an all-time high in 2021. At the time, Bitcoin was still substantially below its all-time high. Moreover, it has outperformed Bitcoin and other coins over the years, making it a good coin to buy.

Learn how to buy Terra here, or invest with our preferred trading platform below.

*This is not financial advice.

,

Source link

Related Posts

Leave a Reply

Top 10 Crypto Articles

3 relatively small projects to watch in P2E gaming
May 22, 2022By
Cardano (ADA) set for a 40% upswing
May 21, 2022By
KuCoin price has nosedived. Should you buy the KCS dip?
May 20, 2022By
NFT traders moving to Solana to avail of low barriers to entry
May 19, 2022By
2 reasons why the Ethereum price is plummeting
May 18, 2022By