LUNA Price Prediction: Can LUNA Reach $1 Dollar Again?

Terra (LUNA) is a public blockchain protocol that has undergone a significant transition from its previous iteration, Terra Classic. Originally known as Terra Classic, the protocol introduced the algorithmic stablecoin TerraClassicUSD (UST).

The development of Terra Classic commenced in January 2018, and the blockchain was officially launched in April 2019. Its primary goal was to combine the stability and widespread acceptance of fiat currencies with the censorship-resistant properties of Bitcoin (BTC), providing fast and affordable settlement solutions through its UST stablecoin. Terra Classic offered stablecoins pegged to various fiat currencies, including the U.S. dollar, South Korean won, Mongolian tugrik, and the International Monetary Fund's Special Drawing Rights basket of currencies.

The Terra network was founded by Daniel Shin and Do Kwon. They co-founded Terraform Labs, the company behind the development of the Terra blockchain. Daniel Shin serves as the CEO of Terraform Labs, while Do Kwon is the co-founder and the current CEO of Terraform Labs. They launched the Terra blockchain in 2018, with its mainnet going live in April 2019.

In July 2021, Terra successfully secured $150 million in funding from notable investors such as Arrington XRP Capital, Pantera Capital, Galaxy Digital, and BlockTower Capital. The funds were allocated to Terra's Ecosystem Fund, which supports various projects on the Terra blockchain. This funding round came after a previous successful raise of $25 million in January of the same year.

However, in September 2021, Do Kwon, the CEO of Terraform Labs, received a subpoena from the U.S. Securities and Exchange Commission (SEC) requesting his testimony regarding Terra's Mirror Protocol. The following month, Kwon and his company took legal action against the SEC, alleging that the subpoena had been improperly served. They also claimed that the SEC had failed to maintain the confidentiality of the investigation, as Kwon was served with the subpoena in person at a conference.

However, in May 2022, a bank run on UST resulted in its devaluation and subsequently caused the value of LUNA to plummet close to zero. This event led to the launch of a new chain, resulting in the coexistence of Terra Classic and the revamped Terra. Following the introduction of "Terra 2," the native token of the revamped network underwent a rebranding and inherited the name LUNA, representing the new era. Simultaneously, the token associated with the previous blockchain was renamed to Luna Classic (LUNC), distinguishing it as the token of the old Terra network.

The new Terra blockchain, also referred to as Terra 2.0, has inherited the foundations of Terra Classic while bidding farewell to the UST stablecoin. The development of Terra 2.0 will be spearheaded by the passionate LUNA community, affectionately called "LUNAtics," who played a crucial role in Terra Classic's success. The focus will be on evolving the world-class user experience (UX) and user interface (UI) that propelled Terra Classic to second place in total value locked (TVL) at its peak. Many decentralized applications (DApps) have already committed to migrating to Terra 2.0, ensuring the continuity of their functionality within the revamped ecosystem.

The LUNA 2.0 token has a total supply of 1,004,262,701 LUNA with 277,959,485 coins in the current circulation.