SwissBorg and the CHSB tokens are [Ethereum](https://coinmarketcap.com/currencies/ethereum/)-based. As an [ERC-20](https://coinmarketcap.com/alexandria/article/what-are-erc-20-tokens-find-out-now-as-the-decentralized-finance-industry-takes-off) token, CHSB will be secured by the proof-of-stake ([PoS](https://coinmarketcap.com/alexandria/glossary/proof-of-stake-pos)) consensus, as Ethereum itself transitions to it. Unlike the proof-of-work ([PoW](https://coinmarketcap.com/alexandria/glossary/proof-of-work-pow)) consensus employed by Bitcoin, PoS relies on majority holders to mine new tokens. This consensus method is significantly more versatile compared to PoW, as it introduces the process of staking to the blockchain layer. In addition, PoS is becoming more popular among developers and users alike because it is more energy conscious. While PoW requires a lot of computing power for mining, PoS relies on static coin holdings and gives more mining power to users with a more significant stake.

During the initial coin offering ([ICO](https://coinmarketcap.com/alexandria/glossary/initial-coin-offering-ico)), SwissBorg minted the maximum supply of 1,000,000,000 CHSB tokens. All of these tokens have been released, which means that the total circulation of SwissBorg tokens is also 1,000,000,000. About 38% of all CHBS tokens were allocated to community sales to the public. Another 20% of the tokens were distributed among team members as rewards for creating the platform. Close to 10% of the total supply was directed towards strategic investors, while another 15% was dedicated to the second round of funding for the project. Finally, SwissBorg distributed close to 14% of all CHBS tokens to experienced investors, who had already stated interest in the project. According to the SwissBorg website's ([CHSB overview](https://swissborg.com/chsb-overview)]) page, there are now fewer than 200,000,000 CHSB left in circulating supply, with the majority being locked by app users for Premium benefits, or in yield-earning wallets.

According to SwissBorg founders, the current banking system is obsolete, and their project is a response to this problem. By introducing blockchain technology to personal finance, SwissBorg aims to give individuals complete control over their portfolios and investments. The central values of the company include transparency, equality through meritocracy, and impartiality. The SwissBorg platform depends heavily on blockchain decentralization to ensure that personal data is protected and users can control their funds without restrictions. The SwissBorg team boasts inclusivity and has members all over the world. The mobile app is one of the top cryptocurrency apps in app stores and has attracted more than 450,000 verified active users globally.

CHSB is a multi-utility Ethereum token (ERC-20) token, and is the heart of the SwissBorg ecosystem. CHSB offers the following utilities: * Yielding: The CHSB Yield Program revolutionises earning on your crypto by linking the yield paid to the performance of the SwissBorg ecosystem, as measured by the[ SwissBorg Community Index](https://swissborg.com/blog/community-index). * Protect & Burn Mechanism: 20% of the revenues made on fees in the SwissBorg app are dedicated to [protecting the price](https://swissborg.com/blog/13-protect-and-burns) of the CHSB token. When the price moves into a bearish zone, SwissBorg automatically places buy orders. All purchased CHSBs are then burned in a transparent manner. * Premium Membership: Users can lock CHSB tokens to get exclusive Premium benefits. The Genesis Premium account gives users exchanges on BTC, CHSB and stablecoins for 0% fees, as well as [doubling the yield earnt](https://swissborg.com/blog/chsb-yield-boosting-utility) on Smart Yield accounts on USDC, CHSB, ETH, BTC, BNB, USDT and XRP. The Community Premium account includes 0.75% fees on all exchanges, as well as a 1.5X yield multiplier. * Exclusive Access: Get access to future exclusive wealth management products in the app * Community Rewards: Users can earn CHSB rewards by participating in the SwissBorg DAO. * SwissBorg National Council: In 2021, SwissBorg launched a National Council where token holders can participate in the future of SwissBorg through a decentralised governance mechanism.

[Cyrus Fazel](https://www.linkedin.com/in/cyrusfazelmrfintech/) is one of the co-founders and current CEO at SwissBorg. He graduated in international business management from the EDHEC Business School in 2007. His professional career started as a portfolio advisor at Julius Baer in 2007. Later on, Fazel became a hedge fund advisor for Aramis Capital. In 2016, his interest in personal finance took a new form, and he helped found SwissBorg. [Anthony Lesoismier-Geniaux](https://www.linkedin.com/in/anthony-lesoismier-geniaux-06254a11/) is the other co-founder and CTO of SwissBorg. He graduated in finance from Polytech Nice Sophia in 2008 and immediately started working in the field. At first, he was a fund manager assistant and later became head of digital advisory at JFD Wealth. In 2016 he partnered up with Cyrus Fazel and co-founded SwissBorg.

SwissBorg is democratising wealth management by making it fun, fair, and community-centric. Headquartered in Lausanne, Switzerland, SwissBorg has an international team of over 180 people and holds a Virtual Currency License, which allows them to provide virtual currency exchange and virtual currency wallets internationally. The company's showcase product, the SwissBorg app, is empowering over 450,000 users to buy, sell and exchange digital assets, with features like AI-powered asset analysis and Portfolio Analytics to help them make smart investment decisions. Their best-in-class Smart Yield wallet gives users the opportunity to earn yields of up to 20% of USDC, along with increasing the benefits of our own token’s staking utility by offering Premium account holders up to 2X yield. The SwissBorg token is the heart of the SwissBorg ecosystem, and was one of 2020’s top-performing tokens, skyrocketing by 2,700% and reaching the top 70 tokens on CoinMarketCap. Their gamified Bitcoin prediction app, Crypto Challenge (formerly the Community App), now has over 300,000 players, helping the cryptosphere reach its goal of mass adoption by providing our players with a free and zero-risk way to learn about the crypto market. SwissBorg believes that blockchain technology can empower everyone to control their wealth, and that this is the next step towards a world of decentralised nations, where every individual is welcome and is fairly rewarded for their contributions.

Lisk and the LSK token are widely accessible on the most popular exchanges on the market. The top exchanges to buy the Lisk token are: - [Binance](https://coinmarketcap.com/exchanges/binance/) - [Kraken](https://coinmarketcap.com/exchanges/kraken/) - [Upbit](https://coinmarketcap.com/exchanges/upbit/) - [Huobi](https://coinmarketcap.com/exchanges/huobi-global/) - [Zonda](https://coinmarketcap.com/exchanges/zonda/) - [Bitflyer](https://coinmarketcap.com/exchanges/bitflyer/) It is important to consider the fact that investing in crypto carries risk, just like any other investment. If you’re struggling to find a LSK trading pair with your local currency, check out this [guide](https://coinmarketcap.com/how-to-buy-bitcoin/) on how to convert fiat into Bitcoin - giving you a gateway to buying LSK.

Lisk was founded by Max Kordek and Oliver Beddows. [Max Kordek](https://twitter.com/maxkordek) is the CEO of Lisk and a globally recognized crypto entrepreneur. At just 24 years old, Max co-founded Lisk and raised over 14,000 BTC during its ICO in 2016 and within the same year co-founded Lightcurve, a leading blockchain studio based in Berlin. Since then, Max has become increasingly involved in the global crypto community, speaking at many of the top blockchain conferences in the world. Today, he is working relentlessly to help the industry gain traction. [Oliver Beddows](https://twitter.com/karmacrypto) is the CTO of Lisk and a veteran crypto developer since 2014. Together with Max, he co-founded Lisk and developed it to be a go-to platform for JavaScript developers and also co-founded Lightcurve, a leading blockchain studio in Berlin. Since then, Oliver is introducing revolutionary blockchain innovations and is deeply committed to make the world a better place with the technologies he builds.

In 2016 at the time of the [Lisk ICO](https://lisk.com/blog/announcement/lisk-ico-terms) the Lisk blockchain started with 100,000,000 LSK at a market value of $5,800,000. Approximately 6 years later, in February 2022, there are around 140,000,000 LSK available at a market value of $240,000,000. This represents an over 40x return, given the LSK token price now. At launch, only 8% of the initial LSK token supply went to the Lisk co-founders, which is at the lower end of today’s standards. Today, the annual inflation rate of the LSK token is only about 2% which is one of the industry’s lowest rates.

Lisk is secured through an environmentally friendly and highly efficient [Delegated Proof-of-Stake (DPoS) consensus algorithm](https://lisk.com/blog/research/3-new-dpos-lips-changing-voting-system-lisk) and finality guaranteeing [BFT protocol](https://lisk.com/blog/research/introducing-byzantine-fault-tolerance-consensus-lisk). Without the need for miners the electricity consumption of the entire network is kept to a minimum while ensuring high-throughput and security. Industry-leading [development standards and test coverage](http://github.com/LiskHQ/) at Lisk ensures smooth operation since the launch of the network on May 24th, 2016. [Regular third party security audits](https://lisk.com/blog/development/external-security-audit-lisk-sdk-5.0.0-and-lisk-core-3.0.0) bring further trust and reputation. Inspect the Lisk network on Lisk’s blockchain explorers: - [LiskScan.com](https://liskscan.com/network) - [Lisk.Observer](https://lisk.observer/network)

[Lisk](https://lisk.com) is striving to on-board 100,000,000 users into crypto and web3 by offering an accessible blockchain application platform and an industry leading JavaScript SDK. Released in 2019, the Lisk SDK enables developers to build application-specific blockchains entirely in JavaScript, the most widely used programming language in the world. To get a deep-dive into the Lisk SDK, please visit the [Lisk SDK documentation](https://lisk.com/documentation/lisk-sdk/index.html) or watch [Lisk.js 2019](https://www.youtube.com/playlist?list=PLixm1arf_lEy1IK3AQiKK_J0hdO9rGc30) and [Lisk.js 2022](https://www.youtube.com/playlist?list=PLixm1arf_lExhMdtyoH5Ku9wuUKWTL_v6). To be released in 2022, the Lisk blockchain application platform allows interoperability between all application-specific blockchains built with the Lisk SDK. With other words, users will be able to use DeFi, NFT or Metaverse blockchain applications on Lisk. To better understand why Lisk is important watch the following videos: [The Case for Lisk](https://youtu.be/tpsHK2T-F8c) and [The Ultimate Vision for Lisk](https://youtu.be/Z29ikkzzvlo). If you are curious about Lisk’s history and journey, watch [Looking Back on Lisk](https://youtu.be/qt3cuNjw2Yo). The Lisk project is managed by the Lisk Foundation, a non-profit entity based in Zug, Switzerland. A local team of experts specialized in law and finance, as well as yearly audits, ensure the proper handling of funds and regulatory compliance under the supervision of the Swiss Federal Foundation Supervisory Authority (ESA, Eidgenössische Stiftungsaufsicht). The Lisk products are developed by the Lightcurve GmbH, a Berlin based blockchain studio. With a team of over 40 blockchain experts, Lightcurve is researching, developing and promoting the Lisk SDK and the Lisk blockchain application platform.

As of March 2023, DAO Maker (DAO) is supported on multiple exchanges, including: [KuCoin](https://coinmarketcap.com/exchanges/kucoin/), [Bithumb](https://coinmarketcap.com/exchanges/bithumb/), [Uniswap](https://coinmarketcap.com/exchanges/uniswap-v2/), [PancakeSwap](https://coinmarketcap.com/exchanges/pancakeswap-v2/), [SushiSwap](https://coinmarketcap.com/exchanges/sushiswap/), [Bancor Network](https://coinmarketcap.com/exchanges/bancor-network/), [OKX](https://coinmarketcap.com/exchanges/okx/), [Gate.io](https://coinmarketcap.com/exchanges/gate-io/), [Huobi](https://coinmarketcap.com/exchanges/huobi/), [Bitget](https://coinmarketcap.com/exchanges/bitget/), [Coinone](https://coinmarketcap.com/exchanges/coinone/), [MEXC](https://coinmarketcap.com/exchanges/mxc/), [Indodax](https://coinmarketcap.com/exchanges/indodax/), [CoinDCX](https://coinmarketcap.com/exchanges/coindcx/), [LATOKEN](https://coinmarketcap.com/exchanges/latoken/), [THENA](https://coinmarketcap.com/exchanges/thena/), [Bibox](https://coinmarketcap.com/exchanges/bibox/), [BTSE](https://coinmarketcap.com/exchanges/btse/), [Bitay](https://coinmarketcap.com/exchanges/bitay/), [BitUBU](https://coinmarketcap.com/exchanges/bitubu/), [XT.com](https://coinmarketcap.com/exchanges/xt/) and more. Want to keep track of DAO Maker price live? Download the CMC [mobile app](https://coinmarketcap.com/mobile/).

DAO Maker (DAO) is deployed as an [ERC-20](https://coinmarketcap.com/alexandria/glossary/erc-20) standard token, meaning that it runs on and is secured by the [Ethereum](https://coinmarketcap.com/currencies/ethereum/https://coinmarketcap.com/currencies/ethereum/) blockchain. Ethereum is, in turn, secured by the Proof-of-Stake ([PoS](https://coinmarketcap.com/alexandria/glossary/proof-of-stake-pos)) consensus mechanism. DAO Maker has been audited by [CertiK](https://www.certik.com/projects/daomaker?utm_source=CMC&utm_campaign=AuditByCertiKLink) (Certified Kernel Tech), a pioneer in blockchain security for protocols, [smart contracts](https://coinmarketcap.com/alexandria/glossary/smart-contract), and [DeFi](https://coinmarketcap.com/alexandria/glossary/defi) projects; and [Hacken](https://hacken.io/audits/#dao_maker), a reputable [Web 3.0](https://coinmarketcap.com/alexandria/glossary/web-3-0) cybersecurity auditor that provides a smart contract code review and security analysis.

DAO is the project’s native token. It’s non-inflationary and has a maximum supply of 312,000,000 coins with a circulating volume of 143,942,531 DAO, as of March 2023. The allocation of tokens is as follows: 25% to private and public sales (0.4% of total supply to a 2021 public sale); 20% to the team; 5% to advisors and future team members; 10% to DAO-Managed Foundation; 7% to Foundation funds. 9% to ecosystem growth; 10% to incentives; 14% to merger and acquisition (M&A) processes. DAO is the governance and utility token for DAO Maker. It is a key part of the platform that connects all of its products. The token provides its holders with the right to vote as well as discounts on services and open access to numerous features. DAO also incentivizes users to participate in the community by rewarding those who help DAO Maker grow and develop. Users can get DAO tokens as rewards for staking, providing liquidity, launching projects on the platform, and taking part in governance activities.

DAO Maker provides startups with a secure and decentralized environment where they can grow and discover their potential. The platform helps companies solve issues that frequently arise in the early days, but its primary focus is on communications and public relations. This includes marketing services, SEO and site building, and other services that help the startups build a vibrant community. The DAO launchpad, or "DAO Pad," is a dynamic investment feature where users can monitor the progress of incubated projects as they grow and access exclusive investment opportunities. DAO Maker offers a unique funding solution called Strong Holder Offerings, or SHOs - a lottery-based funding system in which investors with experience and credibility are given priority in token allocation. By participating in SHOs, users help crypto projects raise the funds they need from the community. Venture Bond is another one of DAO Maker's best-known products. Investors stake their digital assets and get a guaranteed return on their investments. In a way, it makes sure that retail investors get paid and thereby gets rid of some of the biggest funding problems. Social mining is one of DAO Maker’s notable features. The software lets crypto projects offer incentives in the form of tokens, which encourages community members to help startups grow and improve.

DAO Maker was founded by Christoph Zaknun (CEO), Giorgio Marciano (CTO), and Hatu Sheikh (CMO) in 2019. Today, Malte Christensen (COO) helps run operations. Zaknun studied medicine at Charles University in the Czech Republic, and worked as an assistant neurologist-traumatologist in a hospital in Salzburg. He later joined the Austrian armed forces as part of the AFRDU, rising to the rank of Sergeant in the Austrian Army for Atomic (biological and chemical defense). Zaknun also has a bachelor's degree in robotics. Zaknun moved into crypto in 2017 and became one of the earliest investors in the Initial Coin Offering (ICO) space. In 2018, he co-founded TGE Alpha Corp and helped set up ICO DOG, a fundraising marketing agency.

DAO Maker (DAO) is an incubator that provides growth technology and SaaS solutions for crypto startups. The goal of this project is to help startups secure venture capital funding by making it simpler for investors to locate projects in which they can securely invest via [IDOs](https://coinmarketcap.com/alexandria/glossary/initial-dex-offering). DAO Maker works by helping new projects build their communities and then converting these communities into value-adding members of a DAO using tokens. Retail investors can invest in digital assets and stocks at an early stage through the platform’s investment system, DAO Pad. It’s designed to help crowdfund young protocols by appealing to small-scale investors. In addition to this investment system, the company also incubates new projects, gives users social mining rewards, and offers advisory services and advice on how to run their companies. Several successful projects have been launched through DAO Maker, including Orion Protocol, My Neighbor Alice, LaunchX, and DAFI Protocol. The platform also helped launch Seascape Network (CWS) and Infinity Pad (IPAD).

The top exchanges for Celer Network (CELR) trading are currently[ Binance](https://coinmarketcap.com/exchanges/binance/),[ Gate.io](https://coinmarketcap.com/exchanges/gate-io/),[ Bithumb](https://coinmarketcap.com/exchanges/bithumb/),[ OKEx](https://coinmarketcap.com/exchanges/okex/),[ Crypto.com Exchange](https://coinmarketcap.com/exchanges/crypto-com-exchange/),[ WazirX](https://coinmarketcap.com/exchanges/wazirx/),[ AscendEX (Bitmax)](https://coinmarketcap.com/exchanges/ascendex/),[ CoinDCX](https://coinmarketcap.com/exchanges/coindcx/),[ MXC.com](https://coinmarketcap.com/exchanges/mxc/),[ Bitay](https://coinmarketcap.com/exchanges/bitay/),[ DigiFinex](https://coinmarketcap.com/exchanges/digifinex/),[ BKEX](https://coinmarketcap.com/exchanges/bkex/),[ AEX](https://coinmarketcap.com/exchanges/aex/),[ BiKi](https://coinmarketcap.com/exchanges/biki/),[ Hotbit](https://coinmarketcap.com/exchanges/hotbit/),[ HitBTC](https://coinmarketcap.com/exchanges/hitbtc/),[ TOKOK](https://coinmarketcap.com/exchanges/tokok/),[ Uniswap V2](https://coinmarketcap.com/exchanges/uniswap-v2/),[ TOCENCAN](https://coinmarketcap.com/exchanges/tokencan/),[ DragonEX](https://coinmarketcap.com/exchanges/dragonex/),[ ZT](https://coinmarketcap.com/exchanges/zt/). You can find others listed on our[ crypto exchanges page](https://coinmarketcap.com/rankings/exchanges/). In March 2019, the sale of CELR tokens took place on the IEO platform,[ Binance Launchpad](https://launchpad.binance.com/en). As of June 2021, the most liquid trade pairs for CELR on Binance are CELR/USDT, CELR/BTC, CELR/BUSD, CELR/BNB.

Celer's supporting pillar - the State Guardian Network is a decentralized Proof-of-Stake blockchain that serves as a message router between different blockchains. SGN facilitates general message passing and cross-chain fund transfers, and provides PoS security, fast finality, and low cost for Celer-enabled dApps. Celer has completed three separate smart contract audits with [CertiK, PeckShield, and SlowMist](https://cbridge-docs.celer.network/reference/audit-reports). Celer also has a standing [$2 million bug bounty program](https://immunefi.com/bounty/celer/) on Immunefi to encourage community and whitehat efforts in securing and improving the network.

CELR has a maximum supply of 10 billion tokens, which is distributed as follows: 25% - PoLC mining reward and Off-chain ecosystem building; 20% - Team (18.3%) and Advisors (1.7%); 17% - Foundation; 5% - Marketing & Ecosystem; 33% - Sale. CELR is an[ ERC-20](https://coinmarketcap.com/alexandria/glossary/erc-20) standard token built upon the[ Ethereum ](https://coinmarketcap.com/currencies/ethereum/) blockchain. It’s used to manage the network economy and has several uses: * Staking CELR in the State Guardian Network (SGN) and acquiring the status of State Guardian. State Guardians have access to status monitoring, respond to disputes, and provide security and network efficiency. * Staking CELR in the SGN or delegating CELR to SGN nodes to obtain PoS staking rewards and transaction fee earnings captured from Celer cBridge and Celer IM-based inter-chain dApps. * Participate and vote in network governance.

Celer fundamentally changes how multi-blockchain dApps are built and used. Instead of deploying multiple isolated copies of [smart contracts](https://coinmarketcap.com/alexandria/glossary/smart-contract) on different blockchains, developers can now build inter-chain-native dApps with efficient liquidity utilization, coherent application logic, and shared states. Users of Celer-enabled dApps will enjoy the benefits of a diverse multi-blockchain ecosystem with the simplicity of a single-transaction UX, without complicated manual interactions across multiple blockchains. Celer uses smart contracts that are deployed on each chain paired with the State Guardian Network, a Tendermint-based blockchain, in order to enable seamless multi-blockchain interoperability. To send a message or invoke a smart contract function cross-chain, a user or a dApp will first send their intention as a message with a structured header and arbitrary binary payload to a Message Bus smart contract on the source chain. Then the validator, the State Guardian Network, will first reach a consensus on the existence of such a message, and concurrently generate a stake-weighed multi-signature attestation. This attestation then is relayed to the destination via an Executor subscribing to the message. On the destination chain, the same Message Bus contract exists to check the validity of the message and triggers the corresponding logic associated with the message either immediately or after a timeout.

Celer Network was founded in 2018 by a strong team of engineers with incredibly technical and specialized experience. All four co-founders of Celer hold PhDs in Computer Science from universities like MIT and UC Berkely, and all have a work history with high-profile tech companies. * Dr. Mo Dong received his Ph.D. from UIUC. He was founding engineer and product manager at Veriflow, working on network formal verification. He is an expert in applying algorithmic game theory to protocol design, and teaches full-stack smart contract courses with hundreds of students graduated. * Dr. Junda Liu received his Ph.D. from UC Berkeley. He joined Google in 2011 to build its datacenter networking infrastructure, and then was founding member of Project Fi mobile service since 2014. He was also the Android Tech Lead for carrier services, which run on more than 1.5 billion devices. * Dr. Xiaozhou Li received his Ph.D. from Princeton University. His works have been published at premier venues in distributed systems, networking, storage, and data management, and have become core components of Google TensorFlow, Intel DPDK, and Barefoot Deep Insight. * Dr. Qingkai Liang received his Ph.D. from MIT. His research focuses on various learning and control problems that arise in networked systems, especially on online learning algorithms in adversarial networks, which have been successfully applied in Raytheon BBN Technologies and Bell Labs.

Celer is a blockchain [interoperability](https://coinmarketcap.com/alexandria/glossary/interoperability) protocol enabling a one-click user experience accessing tokens, [DeFi](https://coinmarketcap.com/alexandria/article/what-is-defi-2-0), [GameFi](https://coinmarketcap.com/alexandria/article/what-is-gamefi-gafi), NFTs, governance, and more across multiple chains. Developers can build inter-chain-native [Dapps](https://coinmarketcap.com/alexandria/glossary/decentralized-applications-dapps) using the [Celer Inter-chain Messaging Framework](https://im-docs.celer.network/developer/celer-im-overview) to gain access to efficient liquidity utilization, coherent application logic, and shared states. Users of Celer-enabled dApps will enjoy the benefits of a diverse multi-blockchain ecosystem with the simplicity of a single-transaction UX, all from a single chain.

To buy TerraUSD (UST), you need to have Bitcoin or Ether to swap for UST on the exchanges where the token is listed. These exchanges include[ KuCoin](https://coinmarketcap.com/exchanges/kucoin/),[ Uniswap (V2)](https://coinmarketcap.com/exchanges/uniswap-v2/),[ Bittrex](https://coinmarketcap.com/exchanges/bittrex/),[ Bitfinex](https://coinmarketcap.com/exchanges/bitfinex/),[ Gate.io](https://coinmarketcap.com/exchanges/gate-io/),[ PancakeSwap (V2)](https://coinmarketcap.com/exchanges/pancakeswap-v2/),[ Sushiswap](https://coinmarketcap.com/exchanges/sushiswap/),[ Terraswap](https://coinmarketcap.com/exchanges/terraswap/),[ 1inch Exchange](https://coinmarketcap.com/exchanges/1inch-exchange/),[ MEXC](https://coinmarketcap.com/exchanges/mxc/),[ OpenOcean](https://coinmarketcap.com/exchanges/openocean/),[ DODO BSC](https://coinmarketcap.com/exchanges/dodo-bsc/). Learn more about how to buy Bitcoin and other cryptocurrencies on our education platform — [ CoinMarketCap Alexandria](https://coinmarketcap.com/alexandria).

TerraUSD (UST) is pegged to the price of a dollar and is secured by Terra (LUNA). LUNA is an asset reserve that ensures the stability and security of the UST through the seigniorage process (income received from an emission of money). Miners also play a significant role in Terra's security. Miners participate in a proof-of-stake ([PoS](https://coinmarketcap.com/alexandria/article/proof-of-work-vs-proof-of-stake)) consensus, providing stability by absorbing short-term demand volatility for Terra. After all, stable demand for mining is one of the main requirements for security and stability. Therefore, the TerraUSD protocol strives to provide stable rewards in all economic conditions. This way, TerraUSD can provide compensation to those who protect and build the network.

TerraUSD (UST) is a stablecoin built on the Terra blockchain. The UST token has no technical support. Instead, the creation of the UST is facilitated by burning LUNA tokens. The UST value fluctuates because it’s driven by supply and demand for the asset and the US dollar value. When the value of the UST exceeds a dollar, LUNA holders can sell tokens for UST. As a bonus, due to the increase in the UST supply, the prices for LUNA are also growing. When supplies are reduced for profit, UST tokens can be sold for Terra (LUNA). This action returns the UST price to the target level. Consequently, a certain amount of LUNA is burned, which creates scarcity and increases their value. As of June 2021, the maximum supply is about 1.93B UST, and its qualities of scalability and functionality make TerraUSD (UST) one of the most notable stablecoins in the cryptocurrency market.

The Luna Foundation Guard (LFG) is the organization managing Terra, the company behind the LUNA and UST tokens. LFG made headline news when it [repeatedly bought Bitcoin](https://coinmarketcap.com/alexandria/article/luna-hits-all-time-high-of-106-as-excitement-over-bitcoin-investment-builds), leading to a [LUNA all-time high](https://coinmarketcap.com/alexandria/article/luna-hits-all-time-high-of-106-as-excitement-over-bitcoin-investment-builds) only one month before the UST depeg. Although the declared goal of the Luna Foundation Guard was to accumulate BTC worth $10 billion, it had to liquidate its Bitcoin reserve in an attempt to save the UST peg. At the time of writing, it is unclear whether LFG will continue buying Bitcoin in the future.

On May 9, 2022, UST [depegged and plunged](https://coinmarketcap.com/alexandria/article/are-algorithmic-stablecoins-dead-already-a-full-breakdown-of-the-terra-crash) from $1 to a low of $0.68. At the time of writing, it is unclear whether UST will recover its peg. After UST started trading slightly below its dollar peg, the [Curve](https://coinmarketcap.com/currencies/curve-dao-token/) pool containing UST got progressively emptied — people were cashing out their UST for other stablecoins. At the same time, short selling of LUNA drove the price of LUNA, the collateral for UST, down. This downwards price pressure forced Terra to mint even more LUNA in an attempt to stop the downwards spiral of UST. This diluted the price of LUNA but did nothing to restore the peg. Even a $1.5 billion sale of BTC out of Terra's treasury did not succeed in restoring faith in UST. Akin to a bank run, UST holders would rather take pennies on their UST than redeem it for LUNA. You can read the full breakdown of the UST depeg [here.](https://coinmarketcap.com/alexandria/article/ust-stablecoin-implodes-and-falls-to-0-68-bitcoin-reserves-liquidated-luna-crashes-50)

* Enhanced Scalability - TerraUSD is an algorithmic[ stablecoin](https://coinmarketcap.com/alexandria/article/what-is-a-stablecoin) with a value equal to the face value of minted stablecoins. To issue 1 TerraUSD, you need to burn 1 LUNA reserve asset. It turns out that TerraUSD's monetary policy scales nearly without limits, thereby helping DeFi projects reach their full potential. * Easy Exchange - The stablecoins in the Terra ecosystem share the total liquidity, meaning you can exchange TerraUSD for[ TerraKRW](https://coinmarketcap.com/currencies/terra-krw/) (their stablecoin pegged to the Korean Won) with minimal fees. * Passive Income Potential - Additionally, users can gain passive income using TerraUSD with the Anchor protocol's stable interest rates. Anchor is a lending protocol that promises a 20% return on UST savings. Additional and steady income appears through rewards in PoS chains, which maintain their stability due to commissions and inflation. This nuance will make it possible to form a reliable interest rate. * Interoperability - With the Dropship bridge protocol, TerraUSD allows blockchain ecosystems to be connected. Dropship integrates TerraUSD into numerous[ DeFi](https://coinmarketcap.com/alexandria/glossary/defi) and[ DEX](https://coinmarketcap.com/alexandria/glossary/decentralized-exchange-dex) platforms, and most importantly, moves assets between chains. LUNA supply and demand determine the value of TerraUSD. Thus, a stable UST cost is guaranteed as the Dropship protocol helps maintain scalability. To summarize, TerraUSD (UST) is the first decentralized stablecoin that provides interest earnings, incredible scalability, and easier interchain movement.