Crypto

Another $1.5B of BTC Was Purchased by Luna Foundation Guard

The popular Luna Foundation Guard keeps purchasing Bitcoin in order to back its stablecoin, as it purchased lately $1.5B

Luna Foundation Guard (LFG) which is based in Singapore, did make another purchase of Bitcoin which worth $1.5 billion for its UST stablecoin reserve.

Luna Foundation Guard did raise the funds through a $1B over-the-counter swap with cryptocurrency broker Genesis as well as a $500M Bitcoin worth purchase from hedge fund manager Three Arrows Capital. According to CNBC on Thursday.

The LFG did buy $100 million of Bitcoin BTC in April, after the latest purchase, the UST algorithmic stablecoin reserve now holds around $3.5B in Bitcoin, which made it one of the top 10 Bitcoin holders globally.

Do Kwon, the Terraform Labs CEO and co-founder, did announce back in March many plans of raising $10B of Bitcoin as collateral for UST.

According to a statement from Do Kwon:

“For the first time, you’re starting to see a pegged currency that is 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 is going to be a winning recipe”.

Bitcoin is trading in red by the time of writing this article at the price of $35,842.79.

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