Luna Foundation Guard Adds Nearly $230M of Bitcoin to Stack

The foundation now has bigger exposure to bitcoin than the U.S. electric-car maker Tesla.

AccessTimeIconApr 6, 2022 at 11:28 a.m. UTC
Updated Apr 7, 2022 at 6:48 p.m. UTC

Omkar Godbole was a senior reporter on CoinDesk's Markets team.

Luna Foundation Guard (LFG), a non-profit organization mandated to build reserves supporting smart contract blockchain Terra's dollar-pegged stablecoin UST, returned to the crypto market on Wednesday, snapping up bitcoin (BTC) worth $227 million.

  • LFG purchased 5,040 BTC, boosting its stash to 35,768 BTC valued at $1.6 billion at the current market price of $45,100, the foundation's confirmed bitcoin address shows.
  • That's the first significant purchase since March 30. The foundation acquired about $125 million worth of bitcoin each day, starting from March 22 to March 25 and allocated $160 million on March 26.
  • LFG announced in February that it had raised $1 billion through an over-the-counter sale to build a bitcoin reserve as an additional layer of security for UST.
  • The reserve size was increased to $3 billion last month, with Terraform Labs founder and CEO Do Kwon tweeting plans to eventually build a $10 billion bitcoin stash.
  • The foundation's buying spree has put it ahead of the U.S. electric car maker Tesla (TSLA), which holds $1.26 billion worth of BTC on its balance sheet.
  • The latest purchase comes as macro jitters weigh over bitcoin, offering the foundation an opportunity to load up at cheap prices.

UPDATE (April 6, 11:31 UTC): Adds "nearly" in the headline.

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Omkar Godbole was a senior reporter on CoinDesk's Markets team.

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Omkar Godbole was a senior reporter on CoinDesk's Markets team.

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