- Luna Foundation Guard, the non-profit organization behind Terra’s UST Stablecoin, has acquired $1.5 billion worth of bitcoin.
- This purchase makes LFG the second-largest corporate holder of bitcoin, surpassing Tesla.
- The transaction was facilitated by cryptocurrency prime broker Genesis, and cryptocurrency hedge fund 3AC.
Luna Foundation Guard (LFG), a non-profit organization focused on developing the Terra ecosystem, has closed a $1.5 billion over-the-counter (OTC) purchase of 37,863 bitcoin, surpassing Tesla as the second largest corporate holder of BTC, according to a press release.
Track live crypto price of 10000+ coins!
Prior to this purchase, LFG held 42,530 BTC currently valued over $1.6 billion in this wallet. Tesla currently holds 43,200 BTC, currently valued close to $1.7 billion. This purchase of 37,863 BTC positions LFG almost one-third of the way through its initial plans to acquire $10 billion worth of bitcoin to strengthen the UST Forex Reserve backing the Terra ecosystem stablecoin.
“The LFG’s mission to support the stability and adoption of the UST stablecoin continues with the latest deal acquiring BTC from Genesis for the UST Forex Reserve,” said Do Kwon, LFG Governing Council member and Co-Founder and CEO of Terraform Labs.
The initial $1 billion worth of BTC acquired by LFG was facilitated by a prominent cryptocurrency prime broker, Genesis, through an OTC swap of UST Stablecoin for BTC. This OTC transaction was the first of its kind at the achieved magnitude. The remaining $500 million was obtained through Three Arrows Capital (3AC) which is a leading cryptocurrency hedge fund.
“Terra’s remarkable growth has continuously reshaped crypto markets over the last two years,” said Joshua Lim, head of derivatives at Genesis. “Genesis is excited to be a liquidity partner to the Terra ecosystem, connecting it to a broader audience of institutional market participants.”
With the bitcoin reserves of LFG totalling 80,394 BTC valued over $3.1 billion, this purchase places the foundation among the top 10 bitcoin holders in the world.
Download MAXBIT Android App, Your best source of all crypto news!
Share this article: