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Terra Research proposes new utility for TerraUSD and LUNA
Decentralized algorithmic stablecoin issuer Terra published an ambitious proposal via its research team this week to expand the interchain deployment of its TerraUSD (UST) stablecoin across five projects on Ethereum, Polygon and Solana.
Titled “UST Goes Interchain: Degen Strats Part Three,” the lengthy governance post extensively detailed the methods and procedures in which Terra’s native token, LUNA, and $139 million of TerraUSD (UST) could be deployed to “bring awesome UST use-cases to Ethereum DeFi.”
In the proposed strategy, which has gained 3,500 views and six replies from community members who self-titled themselves Lunatics, Terra would deposit between $250,000 and $50 million in UST in a bid to boost the stability of each of the new partner projects. It is expected that a community-led governance vote will occur in the near future to determine confirmation.
DeFi liquidity provider and market maker Tokemak would receive $50 million in UST for a maximum of six months, and lending and borrowing platform Rari Fuse would receive $20 million in UST across the same period. Yield aggregator Convex Finance would receive…