1. Terra Luna Crypto project background

Terra was initially designed to maintain the price peg of stablecoins through an algorithmic mechanism and collateral model while providing an efficient, low-cost transaction experience for the global payment network. LUNA (Terra Luna Crypto) plays a crucial role in the Terra protocol, fulfilling functions such as network security, price stability, and governance voting. After the 2022 stablecoin collapse, the old Terra chain was renamed Terra Classic (token ticker: LUNC), while the new chain retained the name Terra (LUNA) and continued expanding its technology and ecosystem.

The Terra project was originally co-founded around 2018 in Singapore and South Korea by experts in blockchain, finance, and e-commerce. The goal was to integrate stablecoins and decentralized payment networks to offer merchants both online and offline convenient and low-fee crypto payment solutions. Due to its innovative technological concept, Terra gained early support from the community and some e-commerce platforms, leading to rapid growth. Between 2021 and 2022, Terra built a large family of stablecoins, such as KRT (pegged to the Korean Won) and UST (pegged to the US Dollar). However, in May 2022, the UST stablecoin depegging triggered on-chain bank runs and panic, pushing the Terra ecosystem into a major crisis.

Source: Terra Finder

The current Terra Luna Crypto is the “new chain” (often referred to as Terra 2.0). The old chain continues to exist as Terra Classic (LUNC). The new chain aims to restart with a focus on compliance, decentralized governance, and community consensus, gradually repairing the ecosystem.

2. Terra Luna Crypto market performance and price trends

Data Source:Gate.io(Captured on March 28, 2025)

Since its listing on Gate.io in May 2022, the price of Terra Luna Crypto has experienced significant fluctuations.

• Initial listing: Achieved an all-time high of $18.87 on May 28, 2022, but then fell sharply due to market sentiment and the collapse of Terra’s old chain.

• Recent low: reached a historical low of $0.1629 on March 10, 2025, showing that the market’s confidence in the project’s future development remains unstable.

• Current performance: As of March 28, 2025, the coin price fluctuates between $0.1896 and $0.2130, with a 24-hour trading volume of approximately 879,070 LUNA and a turnover of 174,510 USDT. The market value is about $131.00M, ranking around 300th in market capitalization.
  Overall, the price of LUNA has been relatively low recently, and with the continued recovery of the Terra ecosystem and the implementation of the claims solution, market attention to LUNA is expected to increase.

3. Terra Luna Crypto Price Prediction and Future Outlook

In the medium to long term, whether Terra Luna Crypto can restore its reputation and value depends on various factors such as the transparency of its payment process, rebuilding community confidence, landing of ecological applications, and the global regulatory environment.

• Short-term observation: After the first batch of claims are processed by the end of April 2025, if the compensation and reconstruction plan is clearly implemented, it is expected to slightly improve market sentiment.

• AI model prediction reference: If investors want to make further price predictions, they can use Cryptocurrency Price Predictor(Based on AI model, for reference only), enter the date and price range to get an automated prediction chart. Pay attention to the timeliness of the data and avoid entering dates before May 27, 2022, or during invalid historical query periods.

• Long-term potential: If Terra can cooperate with more large Internet or financial institutions in the future and regain its advantage in stablecoin applications, the value of LUNA is expected to receive greater support. However, the premise is that the team must actively respond to legal and regulatory requirements, ensuring compensation and project operation transparency.

4. Terra Luna Crypto recent news

Source:Terra 🌍 Powered by LUNA 🌕 (@terra_money) / X

1. Creditors’ encrypted loss claims portal is about to open

• Time: March 28, 2025
• Terra officially announced that the Crypto Loss Claims Portal is scheduled to go live on March 31, 2025, for creditors to submit claims, with the deadline set at 23:59 on April 30, 2025 (Eastern Time).
• Claims require providing materials such as wallet address and read-only API key.
• This marks the official start of the compensation process for the community and investors after Terra’s settlement with the regulators.

2. UST creditors prepare materials

• Time: March 25, 2025
• Official reminder to original UST holders to collect transaction records and other proof in advance, in order to smoothly submit claims in the future. Terra emphasizes that this is an “important step in rebuilding trust”.

3. Terraform Labs settles with SEC

• Time: March 20, 2025
• Terra official confirms that it has reached a preliminary settlement agreement with the U.S. Securities and Exchange Commission (SEC) and has begun making partial payments. Specific amounts and timing have not been disclosed yet.

4. Community Governance Proposal - “Wind Down Trust”

• Time: March 18, 2025
• Terra has initiated a crucial governance vote aimed at allocating funds for creditors’ claims, planning to allocate a portion of project funds to a community trust for liquidation and restructuring. Community members can vote on-chain to determine the final ratio.

5. Rumors of cooperation with Kakao

• Time: March 27, 2025
• There are market rumors that Terra may cooperate with the South Korean technology giant Kakao in the payment field, planning to integrate stablecoin functions such as USTC in KakaoPay. The official has not yet confirmed this news, and further follow-up is required.

6. Terra Founder Do Kwon Extradition Case

• Time: March 23, 2025
• According to multiple foreign media reports, the Montenegrin court ruled to extradite Do Kwon to the United States. This move may affect the subsequent ecosystem management and fund flow of Terra, but the project team emphasizes that community governance will not stop due to individual legal litigation.

Summary

Since the 2022 stablecoin crisis, Terra Luna Crypto has endured a turbulent journey from peak to collapse. The project is now focused on creditor compensation, community governance, and technical upgrades to rebuild trust.

The launch of the Crypto Loss Claims Portal on March 31, 2025, will be a critical moment for Terra. Additionally, developments in SEC settlements, governance reforms, and potential Kakao partnerships may shape Terra’s future trajectory.

However, the algorithmic stablecoin sector remains fragile, and legal uncertainties surrounding Do Kwon persist. In the short term, LUNA’s price could remain highly volatile, but if Terra successfully strengthens its technology, compliance, and community governance, it may recover some of its lost value. Otherwise, risks and uncertainties will continue to loom.