$LUNA Luna Coin, the native cryptocurrency of the Terra blockchain, was designed to stabilize TerraUSD (UST), an algorithmic stablecoin. In the Terra ecosystem, Luna was used to maintain the peg of UST to the US Dollar, with Luna being minted or burned depending on UST's price fluctuations. The project gained popularity in 2021 but collapsed in May 2022 when UST lost its peg. This caused Luna’s value to crash, wiping out billions in market value. The event shook confidence in algorithmic stablecoins and led to regulatory scrutiny. Terraform Labs, led by Do Kwon, faced legal challenges, and the project later relaunched as Terra 2.0, though its future remains uncertain.