Data shows that Bitcoin (BTC) has already attracted its largest new buyer with nearly $200 million in price increases.
An analysis of the wallet linked to the Terra blockchain protocol shows that it has increased by $165 million since it began collecting BTC in the first quarter of this year.
Terra Co-Founder Refuses BTC Reward Idea LFG
The Luna Foundation Guard (LFG), a non-profit organization working around Terra, is currently implementing its plans to support the new TerraUSD stablecoin (UST) with both Bitcoin and the original LUNA token.
The plans were first revealed this month by co-founder Terra Do Kwon, but the target fund portfolio has remained active for longer, with significant inflows in January.
Since mid-March, the buying process has accelerated, and in just a few weeks, LFG’s balance has crossed 30,000 BTC.
If that wasn’t impressive enough, Bitcoin bullshit, whether or not it had to do with the purchase of Terra, generated $165 million in indirect profits for the organization. At a three-month high this week above $48,000, the figure reached $186 million.
LFG portfolio data shows profit in US dollars. Source: BitInfoCharts
Contrary to gold bug Peter Schiff’s criticism of Terra’s plans, meanwhile, Kwon seemed to reject the idea that such a large amount of investment could drive up the price of BTC.
“If I could transfer bitcoin, it wouldn’t fit as a reserve asset,” he wrote during a Twitter discussion with Schiff on Thursday.
Schiff argued that the goal of stabilizing the dollar with something other than the US dollar was “meaningless”.
Terra Tesla: “Hold my beer”
As Cointelegraph reported, Terra plans to buy BTC for a total of $10 billion.
Related: Bitcoin Just Recovered a Major Price Trendline After Its Longest Absence Since March 2020.
This will surpass its holdings of other well-known “whales”, including MicroStrategy, which currently holds the world’s largest bitcoin treasury at 125,051 BTC ($5.89 billion).
While MicroStrategy plans to continue buying, second-place Tesla has not made such a commitment, estimated at 43,200 BTC.
Looks like LFG will get over it soon.
In terms of net profit, Tesla has grown 1.36 times compared to its original purchase price, and MicroStrategy – 1.6 times, according to data from bond monitoring resource Bitcoin Treas.