SPECIAL NOTICE: TERRA HAS FALLEN

Terra is an exciting young project aimed at bringing crypto to the masses. To accomplish this high level goal, Terraform Labs are developing an entire ecosystem of interconnected financial platforms simultaneously. This includes:

• Multiple National Algo Stablecoins
• Savings Protocol (Anchor)
• Investment Protocol (Mirror)
• Peer-to-peer Payments Gateway (Chai)
• Much more including ETF and Insurance protocols on immediate horizon (Nebula and Ozone)

“Getting in” and “getting out” of the Terra ecosystem is smooth and frictionless. Buy LUNA to get in, sell LUNA to get out. LUNA is the foundational, native token at the core of all things Terra. The main unit of account in this ecosystem.

Why bother getting in? What’s the appeal?

Because once you are in, you can do DeFi things. “DeFi things” boils down to earning a yield on your assets. Passive income. There are a number of ways to play it, and it can be a complicated world upon first exposure, but the opportunity is real. For many newcomers, DeFi seems “too good to be true” and/or a ponzi scheme of sorts. The key concept to remember is that there exists today, a Financial Industry. A huge financial industry. However mysterious it may be to you, make no mistake that Banks rake. And DeFi is all about the people being the Bank in the crypto world. And also make no mistake that the crypto world is real, and just getting started.

The best way to learn is get in and do. On other networks with enormous gas fees, it can be difficult and expensive to find out for yourself through firsthand experience what DeFi is all about. Not the case on Terra. Transaction fees on Terra can be as little as one cent. Block time on Terra is 6 seconds - an incredibly fast network. If you have any questions feel free to join our telegram (RnodeC-terra) and we’ll be happy to help you along the way.

Stablecoin

A stablecoin is a crypto token designed to represent a traditional fiat. A digital dollar. In US terms, one UST (US Terra) is a digital asset that will always be worth exactly one USD (US Dollar). This is done a variety of ways by competing stablecoin implementations, treasury backed like USDT (“tether”) and USDC, or, in the case of Terra, algorithmically - achieved through pre implemented protocols (aka more decentralized). DAI is another very popular stablecoin. There are tons out there as it is a hot commodity. In early 2021, Visa announced they will accept USDC, opening the floodgates for stablecoins to enter the world’s stage as standard methods of payment.

Every transaction in Terra will burn (destroy) either LUNA or a particular stablecoin in order to balance out supply/demand and maintain the exact peg to the fiat. Terra stablecoins so far have an incredible track record of maintaining the peg, even amidst recent industry-wide market volatility.

Anchor

Anchor is a savings platform that literally pays you money to take out loans. You take out a loan by “bonding” your LUNA - aka putting your LUNA up as collateral. You then take out a loan from Anchor against that, and then Anchor kindly pays you a dividend for participating, as long as you keep your loan amount under 50% this collateral value. And the collateral value fluctuates (gamble gamble).

Anchor pays you your yield in ANC (the native token of the Anchor protocol). You can also deposit your UST back into Anchor and earn a flat, consistent 20% APY - paid out in UST. How savings banks should be!

Mirror

Mirror is the investing platform where you can buy and sell “mirrored” assets - your favorite stocks - TSLA, AMZN, FB, AMC, GME, COIN - using UST. A mirrored asset is a digital representation of the particular real world asset. Algorithmically, the mirrored asset will exactly track the real world price. There is mirrored Bitcoin and mirrored ethereum there as well.

One of the appeals of this concept is opening the doors of major money markets to parts of the world that have historically been excluded due to regulations, logistics etc. Another appeal is that you can buy and sell these assets paying fractions of percentages you would pay on normal trading platforms. This is all done through “Automated Market Making” (AMM), which is when all users provide liquidity to certain pools by providing equal parts of the mirrored asset and UST. By doing this they earn a percentage yield. Yield ranges from 25% APY on the liquid ones to 150% APY on the illiquid volatile ones (AMC and GME).

Mirror pays your yield in MIR token (the native token of the Mirror Protocol).

Chai

Chai is a peer-to-peer payments gateway that allows users to send their localities stablecoins back and forth to each other very efficiently. Very simply, it is akin to Venmo and Cashapp which is probably the only explanation needed. Apps that use Chai, however, have the added benefit of potential integration with Anchor and Mirror. Imagine your venmo balance accruing 20% interest gains as it just sits there!

Closing Remarks

There is incredible opportunity for gains in Terra. And although a core belief of RnodeC is that Bitcoin is always the ultimate prize, we also believe that there are many layers to the new economy and that Terra is an important piece of the puzzle. With fast, cheap, and frictionless transactions, along with a vast and diverse ecosystem, one is able to fulfill all of their current and unrealized financial needs without paying a centralized entity. All of course in hopes of the (new) American Dream which is buying Bitcoin with something other than USD.

To the moon, as they say.