The Luna Foundation Guard Bought Another $1.5 Billion Worth of Bitcoin

Based in Singapore, Luna Foundation Guard (LFG) purchased another $1.5 billion in bitcoin for its UST stablecoin reserve. LFG raised the cash through a $1 billion over-the-counter (OTC) swap with cryptocurrency broker Genesis and a $500 million bitcoin acquisition from hedge fund manager Three Arrows Capital, according to CNBC on Thursday (May 5, 2022). LFG paid $100 million for BTC in April. The UST algorithmic stablecoin reserve now has roughly $3.5 billion in bitcoin, making it one of the top ten bitcoin holdings in the world. Do Kwon, the co-founder and CEO of Terraform Labs, announced plans to raise $10 billion in BTC as collateral for UST in March. Do Kwon intends to reach this target by the end of the third quarter of 2022. According to a statement from Do Kwon: “For the first time, you’re starting to see a pegged currency attempting to observe the bitcoin standard. It’s making a strong directional bet that keeping a lot of those foreign reserves in the form of a digital native currency will be a winning recipe.” Large institutional purchases and cryptocurrency swings The price of bitcoin fell 9.1 per cent on Thursday. Luna, the Terra blockchain’s governance token, fell 7.3 per cent. The changes coincided with a general and rapid decrease in stock prices. #AANews #BTCEUR #BTCGBP #BTCUSD #BTCUSDT Luna Foundation Guard Purchased Another $1.5 Billion Worth of Bitcoin https://t.co/NTEOppxwrs – https://t.co/HzksZFXjrd pic.tw...