Terra Luna and its token is a recognized brand before may 2022. Ust and its twin coin Lunc have claimed to be equal to the US dollar. Before 2022 they came to the list of top 10 cryptocurrencies in the world. People invest million of their funds and retirement in this cryptocurrency because they claim to be a stablecoin.
Biggest Collapse in the cryptocurrency
In addition to this, in May 2022 the terra luna and its coins aggressively came down. It collapsed badly and write history in the cryptocurrency that how disaster the terra luna come to earth. In April the price of terra luna is 119 dollars but after diminishing, it came to 1 cent. It means it collapsed by 100% downward. In this regard, millions of people lost their life savings and retirements. They came to the road in no time due to this disaster. The developers of this chain have lost their jobs and some are facing court issues. They are helpless to do the jobs at the other platforms to run their home’s kitchen. Furthermore, after the collapse of this market, a small community in the shape of developers of this cryptocurrency stayed focused and covered this loss, they issue new crypto in the name of Luna on 28 May 2022. They called the old terra luna classic and the new terra luna 2.0.
Classic and luna 2.0 blockchain
The luna classic is built on a separate blockchain to accommodate the transactions of its users. Despite that, the new terra luna 2.0 is built on another blockchain system. These two blockchain of terra luna are working parallel. But in contrast, the terra luna classic blockchain is not functional anymore or is inactive. The developers are also not interested to rehabilitate it due to a number of factors. Terra luna bear the loss of 40 billion in May 2022 and that is the biggest loss in the history of crypto.
Supply of Terra luna 2.0
The luna 2.0 has a finite supply of coins that is equal to 1 billion but they have no stability just like before of collapse. The investor or traders who lose the old terra luna, get the new terra luna without any cost. The developers try to compensate for the cost of their loyal customers. In this regard, KuCoin welcomes the stability of luna 2.0. KuCoin does not hesitate to enlist the new terra luna at their exchange but also helps KuCoin’s user’s to get the new terra luna.
In contrast to terra luna classic or terra luna 2.0, the USDT is a stable coin issued by the hong kong based company in 2014. They try to maintain that the USDT coin is equal to 1 dollar. This digital crypto is called digital cash. You can buy and sell anything with the help of USDT at any place and any time and they are accepted worldwide.
Backed by physical assets
In addition to this, the USDT coins are backed by physical cash, securities, bonds, treasury bills, and promisor notes. It means they have physical reserves for the cryptocurrency and this cryptocurrency is the least volatile currency in the online market.
Low volatile cryptocurrency
Every cryptocurrency has a chance to fall down by 10 to 20 percent every day. But this cryptocurrency is not in this match due to the backing of physical assets. This company does not disclose how many coins are circulating in the online market but in 2020 their report said that 14.4 billion coins are in circulation and these coins are backed with 14.6 billion of physical assets. After the comparison of LUNC and luna 2.0 to USDT coin, it pertains that it is very risky to invest in luna 2.0. Because it’s a time taking process to heal the old collapse. The market has no intent to deal in the terra luna of any kind. They think that terra luna is present in just papers. Despite that, the USDT is a stable coin equal to the united state dollar. The people have faith and confidence to invest in this coin. Because it is backed by physical assets.