Review on Terra by jesus ruiz
Terra, a DEFI platform that aims to stabilize cryptocurrency markets
Terra is a blockchain protocol developed to strengthen the infrastructure of stablecoins and decentralized finance (DeFi).
The project is based on a set of stablecoins that are linked to various fiddria currencies. The stable price is maintained thanks to an algorithm and the LUNA token. LUNA is the native token of the Terra network, which is used to ensure the network, governance and price stability of stablecoins.
LUNA is essentially the backbone and base of Terra's entire network and ecosystem. The project is already driving mass adoption through its partner CHAI, a South Korean payment gateway that already has more than 2 million users. Using this for its momentum, terra hopes to create a more widespread system, advancing towards other areas of Asia.
At the end of 2020 terra reported that throughout that year the network made payment transactions for more than 1.2 billion dollars among more than 2 million users. This is because e-shops or online stores that accept terra receive payment in 6 seconds and pay a fee of only 0.6%.
Right now terra is the fifth most revenue-generating blockchain in the world. Terra provides efficiency to merchants and consumers, while continuously improving ecosystem infrastructure and tools to finally reach a transparent, distributed and crediblely neutral payment system.
On the other hand, terra secures the network through a PoS consensus and offers rewards for making LUNA Staking. Of course, at the same time LUNA holders are exposed to the risk of price volatility of the LUNA token itself.
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Pros
- It is one of the platforms, which currently generate more revenue
- Its native LUNA token has increased its value in recent months
- Due to its commercial alliance with the CHAI Company, terra has increased the use of its platform since it offers transactions to be made in only 6 seconds
- Low Commissions of 0.6%
Cons
- Beware of the price volatility of your native LUNA token
