The Terra project’s main stablecoin, UST, is being incorporated into Binance and Huobi, two prominent exchanges by trading volume, boosting the choices for users to trade the stablecoin. Following these revelations, the price of LUNA, the Terra project’s governance asset, surpassed its previous all-time high, crossing $100 for the first time in its history.
Huobi and Binance Take Notice of UST
UST, the most widely used stablecoin from the Terra project, has reached a new milestone with the inclusion of two of the world’s largest exchanges by volume traded on their platforms. On December 23, Huobi, an Asian exchange, said that it will include the asset in its Pioneer Zone and launched a contest to encourage the trade of the new currency, offering 210,000 UST to platform users.
Binance also announced the stablecoin’s listing on the same day, indicating that it would provide three alternative UST trading pairs: UST/BTC, UST/BUSD, and UST/USDT. Huobi, on the other hand, only confirmed one trading pair: USDT. Do Kwon, the founder and CEO of Terraform Labs, was overjoyed with the news, stating:
There is virtually no reason to expose your internet money to the danger of censorship any longer. Everyone had a Merry Christmas!
LUNA Sets New Record Levels
The Terra stablecoin’s market cap has increased significantly in the previous week, rising from $8.8 billion on December 18 to around $9.8 billion on December 24. More than 200 million UST were issued shortly following Binance’s announcement. According to the dynamics of the token’s supply, this could have influenced the rise in the price of LUNA.
The Terra project’s governance token, LUNA, is utilized to mint UST. The quantity of LUNA decreases when more UST is issued, making it a more scarce product. Depending on market conditions, this could lead to a possible price increase.
Following the listing news, the price of LUNA rose, breaking its previously achieved all-time high of slightly more than $80, set on December 20. This was the point at which UST declared DAI, the Ethereum-collateralized stablecoin, to be the most valued decentralized stablecoin cryptocurrency project. The price of LUNA reached $100.84 yesterday, buoyed by the general cryptocurrency market’s rise, and has since retraced to a little more than $95.