- Terraform Labs transferred the tokens to a wallet connected to Luna Foundation Guard on Thursday, Terra Finder's publicly accessible blockchain transaction portal shows. Both Terra's official Twitter handle and the transaction details tagged the transfer as a "gift" to LFG.
- Led by Do Kwon, Terraform Labs is the South Korea-based firm behind the TerraUSD blockchain protocol that hosts UST – the largest algorithmic stablecoin with a market capitalization of $17 billion – and its token pair LUNA.
- Singapore-based Luna Foundation Guard was created to support the Terra ecosystem with development grants and to build up a reserve for UST to help maintain its peg. Do Kwon is a member of LFG's council.
- The transfer helps prop up LFG's reserves, which now stands at $2.43 billion, according to a data tracker shared by LFG's official Twitter handle, with 69.8% of the reserves being in bitcoin.
- The data tracker shows that LFG holds 2.25 million LUNA tokens which is fewer than the 10 million transferred. Terra Finder shows that 7.8 million LUNA token were forwarded to another wallet. Before the transfer, LFG's holding of LUNA stood at 50,000, according to a Twitter post that tracks LFG's reserve and its changes.
- When the transaction was executed, Terra's LUNA was trading at $88. It has since slid more than 6% since to $82.
- A Terraform Labs representative didn't immediately return a request for comment.
UPDATE (5:36 UTC): added detail about the part of the gift that was forwarded.
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.