Shiba Inu and LUNA neck and neck in market capitalization with Terra’s new decentralized derivatives
- The Columbus 5 upgrade has attracted decentralized application projects to the Terra ecosystem, and new developments are lining up.
- Perpetual non-Oracle based options are coming to Terra, powered by Antimatter.
- The flagship projects of Terra Orion Money, Anchor Protocol, Mirror Protocol and Pylon Protocol come together to create premium products for competing blockchain networks.
Terra’s ecosystem upgrade attracted Antimatter, a decentralized financial protocol. The decentralized application powers the non-Oracle based perpetual options on Terra.
Derivatives and decentralized options to stimulate ecosystem growth
The Columbus 5 upgrade transported Terra’s tokenomics and made it lucrative for dApps with the Web3 infrastructure to launch into the ecosystem. The upgrade has restructured Terra in several key ways that are changing the economy on the supply side.
The changes simplify Terra’s design and create a closer correlation between UST (Terra Ecosystem Stablecoin) and LUNA.
Earlier today, Terra announced that Antimatter, a DeFi protocol, will support non-Oracle-based perpetual options contracts using LUNA.
This update is essential for LUNA holders as there is an increase in the utility of the token. Users will buy and redeem call and put options with no set expiration and use Terra’s assets for risk hedging purposes.
Options are considered one of the most effective tools for increasing liquidity and promoting the efficiency of Terra’s UST and LUNA Stable Coins.
Another exciting development of Terra relates to the flagship projects Anchor Protocol, Orion Money, Mirror Protocol and Pylon Network. These four projects fit together to compete with premium products on other blockchain networks.
Anchor provides low volatility returns on Terra stablecoin deposits, Orion is the liquidity aggregator, Mirror allows users to issue synthetic assets that track real world asset prices, and Pylon offers a suite of savings products. and payment in DeFi.
Together, these projects compete with DeFi applications on Ethereum, Solana and other blockchains.
The upgrade to Columbus 5 and the arrival of projects that enhance the usefulness of LUNA and UST have brought Terra neck and neck with the Shiba Inu token. The SHIB has seen a massive rally over the past two weeks, pushing the price of SHIB up over 120% in one week.
Terra is ranked twelfth in terms of market capitalization according to the data aggregation platform CoinGecko. The spread between the market capitalization of the two assets is currently less than $ 100 million.
Natalie Luu, Partner at Lightspeed, commented on Terra’s explosive growth. Luu tweeted
TVL’s 4th largest smart contract platform is @Terra_money and the Terra ecosystem has reached over 100 projects
– Natalie Luu (@natluu) October 11, 2021