It has been five months since Terra’s ecosystem collapsed, with tens of billions of dollars of value disappearing from the crypto economy within days after May 7. system again, and since the end of June, Terra’s decentralized financial (Defi) Total Value locked (TVL) has increased from $350,174 to $415.55 million today.
A look at Terra’s blockchain ecosystem over the past 5 months since the collapse
The collapse of Terra’s ecosystem was a dark day for the crypto community when Terra’s stablecoin terrausd (UST), now known as UST classic (USTC), broke away from the token’s $1 parity. Prior to the collapse, Terra’s luna, now known as luna classic (LUNC), was a top 10 crypto asset by market cap, and Terra’s stablecoin also occupied a top 10 position. Prior to the fallout, luna occupied the seventh position in crypto market capitalization, and on April 28, Terra’s native crypto asset was trading at$88 per coin
exactly one day before Terra’s stablecoin depegged, USTC entered the top 10 crypto asset positions by market capitalization. Moreover, in Defi’s TVL, Terra had the second largest TVL under Ethereum (ETH), with aboutTVL; as of April 29, 2022, it held $29.29 billion
. Today is a completely different story, Terra’s ecosystem is a shell of what it was 5 months ago.
For example, LUNCs are trading for less than a US penny at $0.00025948 per unit, which is considerably lower than the $88 per coin recorded on April 28 and much lower than the all-time high of $119 per unit for the coin recorded two weeks ago! The In terms of the new TerraPhoenix blockchain’s native asset, now utilizing the name luna (LUNA), it is 86.2% lower than the all-time high of $18.87 recorded five months ago. However, the terra phoenix chain defi TVL has grown over the past five months, swelling 12,151% since the end of June.
TVL was $350,174 at the time, but has since increased to $41.55 million. The Terra Classic chain held $29.29 billion last April and now holds about $949,635, less than $10 million. Astroport and TerraSwap have roughly $3.5 million, while Defirending Protocol’s anchor is around $1.6 million.
On the Phoenix chain, in terms of TVL held in defi, Astroport, a decentralized exchange (dex) app, holds about $27.55 million, followed by Risk Harbor with $14.76 million. TVL statistics show that Stader, Spectrum Protocol, and Eris Protocol followed Astroport and Risk Harbor, respectively. Additionally, Terrabridge once held $1.4 billion in the first week of April and now holds about $132 million in value.
With regard to sales of non-fundable tokens, the new Terrachain sales data is not documented in the same way as the NFT sales of the classic pre-collapse chain. Despite the very low number of sales, the Terra Phoenix chain is supported by more than half a dozen NFT marketplaces; in total between the two native coins LUNC and LUNA, the classic and phoenix chains, Terra’s blockchain assets is approximately $2.18 billion at 3 p.m. ET on October 16, 2022.
Terra Classicsd (USTC) is trading for over a US penny today at $0.03 per unit on October 16, 2022, valuing the market at about $378.49 million. The statistics show that, at least for today, the crypto market values USTC, LUNA, and LUNC at approximately $2.558 billion, and all three crypto assets are embedded in TVLs held in both chains.
$2.558 billion is a large amount for the collapsed blockchain ecosystem, but it is still a drop from the $49.26 billion in value that LUNC and USTC once had before the blockchain collapsed on May 7, 2022. In fact, the USD value of LUNA, LUNC, and USTC today is 94.82% less than the USD value of LUNC and USTC before Terra’s market crash.
What do you think about the current state of the Terra blockchain ecosystem five months after the stablecoin de-pegging incident and the collapse of the classic ecosystem? Let us know what you think about this subject in the comments section below.
Image credits: Shutterstock, Pixabay, Wiki Commons