Terra Allows Users to Gain Interest from Deposits through Anchor

Terra Allows Users to Gain Interest from Deposits through Anchor

Terra (Luna) allows blockchain users to think of use cases and not infrastructure, according to the Currency Analytics website.

Therefore, the request for proposal is left open for Terra developers to get some useful ideas and avoid overlooking use cases.

Terra tweeted: 

“Terra is launching a grant program to improve ecosystem tools and products as well as to provide an overall better environment for community members. – Anchor (savings rate protocol) – Smart contract tooling – Node as a service – Open-ended.”

The Terraform Labs team will initiate the Grant Program through carrying out four requests for proposal alongside an open feedback from the community.

The first requests will be related to the new staking product ‘Anchor’, which requires a new derivative token and a lending pool. Despite high returns for staking Luna, the volatile nature of Luna did not motivate users.

It is worth mentioning that Terraform Labs was designed as a solution to secure the original depository.  Thus, Terraform will host partners who can better understand the fungible money market and the Luna coin.

The next request for proposal will be about reducing the time to resync node with backing up data in case of data corruption. The vision is universal access to Terra’s public ledger. The firm is looking at community-driven projects to provide accessible and centralized access to Terra blockchain.

Crypto Expert Sydney Ifergan tweeted: 

“Terra (Luna) understands the importance of passive income. This is very obvious from Anchor.”

Users can gain interest through Anchor

Users can gain interest from deposits on Terra through the Anchor. Although the proof of stakes offers interesting methods for earning rewards, the appeal for this is minimal due to the price fluctuations of the underlying staking token.

Terra said on its Twitter account:

“Our #DeFi service partner @trinito_finance (run by Dunamu’s subsidiary DXM) is now supporting borrowing and lending with $LUNA! Now you can – Borrow LUNA to stake and earn rewards – Borrow KRT with LUNA as collateral.”

At the time of writing, Terra rose 5.53 percent to $0.2037. It ranks 95th with a market cap of $38.14 million.

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Rabea Maguid 551 Articles
Rabea Maguid is a journalist completely obsessed with crypto industry. He holds B.A. from Al-Azhar University, and has a background in journalism and economics. Rabea Maguid likes to think about the future in a positive way, and sees blockchain as a potential driver of deep societal change.