Founder Terra Do Kwon has indicated on Twiter that the company plans to buy $ 3 billion worth of bitcoin in the future. Terra will use bitcoins as collateral for its flagship decentralized stablecoins.
Terra plans to buy BTC for $ 3 billion
To Kwon, the founder of Terra and Terraform Labs, brings on Twitter another positive message that will move this cryptocurrency and the entire ecosystem probably even closer to giants such as BTC, Binance coin or ETH. The main goal is buyBTC for $ 3 billion, which would create a new mechanism that would take BTC into account. The supply of new bitcoins will ensure a more decentralized network. In addition, it will allow BTC to trade on the network in pairs with UST at a 1 percent premium. The whole mechanism will be introduced in the very near future. Kwon added:
“I have a few suggestions, but simply put, BTC is the only fixed reserve asset that has proven itself in digital currencies. It is very difficult for most of us to question BTC. ”
Buying BTC can cause growth
The possible purchase of BTC by the Terra Foundation may mean a rocketing price increase. In the past, only Microstrategy and Tesla made similarly large purchases.