Luna Foundation Guard acquires another 37,863 BTC as part of reserve strategy


Luna Foundation Guard (LFG), a Singapore-based nonprofit associated with the Terra Luna ecosystem, has raised an additional $1.5 billion to further expand its already sizeable Bitcoin (BTC) reserves.

The raise allowed LFG to acquire 37,863 BTC via over-the-counter swaps with broker Genesis Trading and an additional purchase from Three Arrows Capital, a leading crypto venture capital firm. The specific breakdown of the deal included a $1 billion over-the-counter swap with Genesis for $1 billion in UST and a $500 million BTC purchase from Three Arrows Capital, the company announced on Thursday .

LFG now holds around $3.5 billion worth of BTC, making it one of the top 10 holders in the world, according to CNBC.

The recent purchase brings Luna Foundation Guard closer to its goal of raising up to $10 billion in Bitcoin to support algorithmic stablecoin US Terra, also known as UST. As Cointelegraph reported, LFG bought $139 million worth of BTC in late March, about two months after the company began accumulating significant amounts of the digital asset.

Do Kwon, the CEO of Terraform Labs, has stated that his goal is to build a stash of Bitcoin to rival that of Satoshi Nakamoto, the pseudonymous creator of the digital asset.

Related: Luna Foundation Guard raises $1B to form Bitcoin-denominated UST reserve

According to CoinMarketCap, UST has become the most popular algorithmic stablecoin with a market cap of over $18.6 billion. Only Tether (USDT) and USD Coin (USDC) have a higher market value and circulating supply.

Luna Foundation Guard isn’t the only company making high-profile Bitcoin purchases. Business intelligence firm MicroStrategy, a public company, continues to stack sats regardless of bitcoin’s price. In April, the company added 4,197 BTC to its reserves, bringing its total holdings to 129,218 BTC.

As for the price, Bitcoin briefly tumbled below $37,000 on Thursday as risk-on markets recoiled after a brief post-FOMC pump the previous day. BTC was last down 5.3% to $37,126, according to data from Cointelegraph Markets Pro and TradingView.