- Terra’s LUNA has become the second most staked crypto asset.
- The asset flipped Ether to do so and has about 41% locked up.
- LUNA has enjoyed an impressive bullish run over the past week.
Terra’s LUNA has surpassed Ethereum in terms of the value of staked crypto assets. The move follows a bullish run for the asset in the last couple of weeks.
LUNA Flips Ether
Terra’s LUNA has pushed past Ethereum to become the second-largest network-staked asset. Stake Rewards data showed that the value of staked LUNA assets on the Terra blockchain had reached $28 billion, over $3 billion more than Ethereum’s $25 billion.
Stake Rewards also indicated that the network has about 226,325 participants in its staking pool, nearly four times more than stakers on Ethereum which has 54,768. Only Solana is ahead of LUNA in terms of staked value with $35 billion in stake value. The data shows that around 41% of eligible LUNA is staked, compared to 74% on Solana.
The process of pledging crypto assets to the blockchain in order to become a transaction validator (or node) on the network is referred to as staking. The blockchain compensates nodes in its native token every time a block of transactions is authenticated and added to the chain, as they require processing power to authenticate transactions. Only blockchains that implement the Proof-of-Stake (PoS) consensus process allow staking.
Currently, LUNA rewards 7% of the staked value to the participants, which is the highest among the 3 assets. Solana offers 5.86%, while Ethereum offers 4.81% on average. The data showed that the Orion money protocol held over $1.5 billion worth of staked LUNA, the largest share of the staking pool, with 42,960 stakes.
While LUNA seems clear of Ethereum in terms of staking, in the DeFi space, Ether remains king. Data from DeFi Llama revealed that the Total Value Locked (TVL) of Terra locked in the DeFi space is just $23.53 billion, a far cry from Ethereum’s $113.34 billion.
To The Moon
LUNA was the best performer in the top 10 last week, jumping by over 78% and the price of the asset moved from $51.9 to $92.2 in 7 days. While it was a bullish week, LUNA topped other double-digit gains made by crypto assets.
LUNA’s gains are fueled by a lot of positive information and sentiment in the community. The Luna Foundation Guard (LFG) has launched a sale of LUNA tokens, stating that the proceeds will be used to create a “Bitcoin-denominated Forex Reserve for UST.” as well as the burning of UST tokens, has fueled the surge in the price of the asset.