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395,895 Terra positions opened on eToro
Terra is a smart contract platform that operates a suite of stablecoins – cryptocurrencies that are pegged to an external asset to stabilise its price – in order to help expand the reach of decentralised finance (DeFi). Founded by Terraform Labs in 2018, Terra is a layer 1 blockchain built on the Cosmos SDK and Tendermint Consensus. Terra stablecoins are each tied to the currency of a country and can be transferred on the Terra blockchain instantly and with low fees. The Terra ecosystem contains a number of protocols, such as Anchor – a savings protocol that offers yields on Terra stablecoin deposits – and Mirror – a protocol that enables the creation of Mirrored Assets (mAssets) that mimic the price behaviour of real-world assets, avoiding the need for traders to own or transact the actual asset. LUNA, Terra’s native staking and governance token, absorbs the price volatility of stablecoins on the Terra network. If a particular stablecoin is in demand, its price will rise. LUNA holders can convert their tokens to the stablecoin in question and then sell it at the higher price, reducing the stablecoin supply and stabilising the LUNA price. LUNA holders are rewarded for helping to counteract the stablecoin price volatility and can also earn transaction fees if they stake their tokens. You can track the price of LUNA tokens and other cryptocurrencies on eToro by adding them to your virtual portfolio.