Pay attention to Terra (and Luna)

By The Very Confused Martin Babalor | Crypto Gigs | Airdrops | Earners | 1 Oct 2020

Starting yesterday, a new earn project was launched on CoinmarketCap Earn. It's called Learn about Terra and earn LUNA tokens and you can start earning a few LUNA tokens for free if you watch a series of three videos and answer correctly to every question in the quiz.Pay attention, answering the quiz is not immediate as in Coinbase Earn project, and if you don't get 100% you'll get no token.

In order to claim your tokens all you need is a Binance account.

I watched the series and I found it quite interesting, Terra looks like a very promising project, with tons of real applications already taking place. More than 2.000.000 users are using Terra's stablecoins ecosystem everyday, making it the 3rd blockchain per transactions after Bitcoin and Ethereum. They developed thier own paying app CHAI, as well as a DeFi savings protocol, Anchor.

So I decided to discover a little more

What is Terra?

Terra is a family of programmable, digital world currencies open for anyone to transact, save, or build on top of.

Terra’s payment network is supported by a family of stablecoins, which are price-stable digital currencies pegged to the world’s major currencies. Underlying our stablecoins is a protocol programmed to ensure price-stability through an algorithm that expands and contracts overall money supply.

To make conversions between currencies within the family frictionless, the protocol supports atomic swaps at the appropriate fiat exchange rate. The seamless flow of capital between each currency unifies the family into a single macro-economy and lays the foundation for radically more efficient foreign exchange and cross-border payments.

This philosophy makes Terra's one of the most scalable project I've heard of, ready to work in every country of the world.

Terra stablecoins are easier to spend and are more attractive to hold. They even build their own payment system CHAI which has more or less 2 million users mainly located in South Korea

What is the LUNA token?

Terra’s native staking and governance token that accrues value with the expansion of the Terra economy. The network of stablecoins are backed by Luna, the staking token that powers Terra’s Delegated Proof-of-Stake blockchain. In exchange for providing stability and security, Luna stakers receive rewards from transaction fees and seigniorage.

Terra's ecosystem switched to Proof of Stake more than one year ago, you can read more here

Following the DeFi trend, Terra developed Anchor, a savings protocol on the Terra blockchain. Anchor offers a principal-protected stablecoin savings product that accepts Terra deposits and pays a stable interest rate. To generate yield, Anchor lends out deposits to borrowers who put down liquid-staked PoS assets from major blockchains as collateral. Anchor’s yield is thus powered by block rewards of major Proof-of-Stake blockchains.