Terra Luna is a relatively new blockchain and cryptocurrency that checks many boxes for cryptocurrency investors. It allows people to stake their cryptocurrencies to earn interest, facilitates the creation of new stablecoins and attracts attention from the DeFi community. However, after the recent de-pegging of the USD stablecoin Terra, can it still be considered a viable investment opportunity?
With that in mind, we will explain in detail how you can buy Terra Luna (LUNC) today and review the best cryptocurrency exchanges that offer Luna. We'll also help you decide if Terra Luna is a good investment and cover the cryptocurrency's recent price movements.
Where to buy Terra Luna Classic
To buy Terra Luna cryptocurrency, you will need a cryptocurrency exchange that offers this cryptocurrency. Given its popularity, most of the major exchanges currently offer Terra Luna. So you can choose the best exchange based on price, investment tools, ease of use and more. We will review our 4 favorite cryptocurrency exchanges that you can use to invest in Terra Luna today.
1. eToro - The best exchange to buy Terra Luna
eToro has re-listed LUNA for buying and trading as of May 19, 2022.
eToro is our top-rated cryptocurrency exchange that you can use to buy Terra Luna token today. eToro is one of the only major exchanges that allows you to buy Terra Luna with a credit or debit card without additional processing fees. It also supports e-wallets such as PayPal, Neteller and Skrill to make buying the cryptocurrency easier.
Another benefit to eToro is that it has relatively low trading fees. You can buy Terra Luna for as little as 1% per purchase (plus spread). This way you know exactly how much you will be charged for each trade.
While eToro's fees are attractive, it's the investment tools this exchange offers that really set it apart. eToro offers user-friendly technical charts, expert insights into the cryptocurrency market and a cryptocurrency news feed to help you stay on top of the market. In addition, the platform has a built-in social network where you can connect with other cryptocurrency traders and share trading ideas. Finally, for investors who want to take a casual approach to cryptocurrency trading, eToro offers copy trading.
eToro allows you to store Terra Luna directly in your exchange account, but you can also transfer cryptocurrencies to the eToro Money cryptocurrency wallet for storage. The wallet app is free and easy to use, and integrates seamlessly with the eToro exchange for simple cryptocurrency exchange.
eToro is regulated in the U.S. by FinCEN and FINRA, as well as by the U.K. Financial Conduct Authority, SEC, ASIC and CySEC - along with offering 24/7 customer service.
2. Crypto.com - Lowest fees for buying Terra Luna token
Crypto.com is another great place to buy Terra LUNA cryptocurrencies. At Crypto.com you can buy and sell more than 250 popular cryptocurrencies with extremely low transaction fees. You will pay nothing to deposit cryptocurrency on Crypto.com and nothing when you exchange cryptocurrency for cryptocurrency.
If you want to buy Terra Luna with a credit card, the transaction fees are 2.99%. Although this is much more than eToro's fees, it is very affordable compared to other top cryptocurrency exchanges.
Crypto.com also stands out because it offers a huge number of different ways to interact with Terra Luna once you own cryptocurrencies. You can store them in Crypto.com's mobile wallet, which is available for free for iOS and Android devices.
You can also borrow Terra stablecoins to earn up to 3% APY. If you want to earn even more, Crypto.com offers a Visa rewards crypto credit card that pays out up to 8% on transactions, depending on which level you belong to.
3. Coinbase - The most beginner-friendly exchange to buy Terra Luna
Coinbase is one of the most beginner-friendly cryptocurrency exchanges for newcomers to the world of digital currencies. On Coinbase, all you have to do is select the cryptocurrency you want to buy, choose the amount to purchase and enter your payment details. It's extremely easy and makes getting started with Terra Luna much faster.
The problem, however, is that Coinbase has some of the highest instant purchase fees of all the major exchanges. You'll pay a 3.49% processing fee when you buy Terra Luna with a credit card or debit card, and a 1.49% fee when you pay with a bank account. Coinbase offers spot trading, which is much cheaper, but its 0.50% transaction fees are still higher than most competing services.
If you're inclined to overlook Coinbase's prices, the exchange has plenty of other things going for it. Coinbase has one of the most secure and trusted software wallets around, and it also has a built-in decentralized app marketplace to help you get the most out of your cryptocurrency.
Coinbase also offers cryptocurrency lending, borrowing and staking. At the moment, you can't borrow either Terra or Luna, but you can stake your Luna on the Terra blockchain to earn rewards.
- Very easy to use
- Accepts credit and debit cards
- Luna putting service
- Integrated cryptocurrency wallet
4. Binance - The best exchange for trading Terra Luna
Binance is our exchange of choice if you want to actively trade Terra Luna profitably. That's because Binance offers both an extremely advanced cryptocurrency trading platform and some of the lowest cryptocurrency trading fees.
The Binance trading platform offers customizable technical charts with dozens of built-in indicators. You can set price alerts, monitor cryptocurrency market news, and even track the Terra Luna order book to stay ahead of changes in trading dynamics.
To top it off, Binance only charges 0.10% per buy and sell order. That's already one of the lowest transaction fees we've seen, but you can also qualify for discounts based on trading volume or for holding BNB, Binance's native cryptocurrency.
Binance also has many features for decentralized finance. You can bet Luna, lend your stablecoins to Terra and run decentralized applications inside the Binance Trust wallet.
What is Terra Luna?
Terra is a blockchain platform designed to create stablecoin cryptocurrencies. These are currencies that are stable in price, making them suitable for payments and a wide range of decentralized financial applications.
The Terra blockchain includes two separate cryptocurrencies, Terra and Luna.
Terra is a stablecoin that tracks a specific fiat currency. In fact, there are many versions of Terra. TerraUSD tracks the US dollar, TerraGBP tracks the British pound and so on for dozens of fiat currencies.
Luna is a management token for the Terra blockchain, as well as a cryptocurrency that is mined when transactions are approved on the Terra blockchain. Importantly, Luna helps maintain consistent prices for Terra's stablecoins.
The system was designed to work flawlessly, making Terra a so-called "algorithmic stablecoin." Although the Terra network has worked well, many market commentators have expressed their concerns about this type of stablecoin because it is not backed by FIAT currency or physical assets such as gold.
Instead, algorithmic stablecoins are kept stable by a sophisticated computer program that automatically measures and burns LUNA to keep Terra stablecoins tied to their partner currency. For example, since TerraUSD should theoretically be priced at 1$, if the price fell to 0.95$, the program would burn a certain number of tokens to make the remaining tokens scarcer - driving the price back to 1$.
However, the whole system fell apart in May 2022, when LUNA's supply surged, causing TerraUSD to "de-peg." The algorithm behind stablecoin was unable to solve this problem, causing panic among investors. This panic led to a massive sell-off of LUNA, as a result of which the cryptocurrency lost a skyrocketing 99% of its value.
This is how LUNA went from being one of the best altcoins to one of the worst performers in the history of the cryptocurrency market. This situation has probably destroyed investors' faith in the Terra ecosystem forever, meaning that even if TerraUSD were to be re-registered, the trust would no longer exist. Given this fact, many market commentators believe that this could be the death knell for the Terra network.
Is Terra Luna a good investment?
Terra Luna has gained the attention of cryptocurrency investors over the past few years, but is it a good idea to invest in Terra Luna right now? Here are some of the key reasons why this digital asset stands out and why many investors want to buy this cryptocurrency right now.
Effects of price volatility
Terra Luna was one of the hottest cryptocurrencies on the market in 2021. It gained approximately 14,000% during the year, which is surprising even by the standards of fast-growing cryptocurrencies.
This explosion in value shows how excited investors are about Terra Luna. While the cryptocurrency has fallen by 99% over the past few weeks, there are still investors who believe LUNA can recover if TerraUSD is re-registered. Time will tell if this will happen, although Terra's reputation is likely to be irreparably damaged.
Terra Luna has made interoperability between blockchain and payment systems a key component of its platform. The Terra platform recently signed a high-profile agreement with Chainlink, making it easier for Terra smart contract developers to access reliable pricing and other critical data.
The more transactions Terra can make in this way, the more important the Luna token will become worldwide as one of the best decentralized financial coins. In turn, this could help Terra rebuild confidence among investors.
Growth of decentralized finance
Speaking of decentralized finance, this is an area where Terra Luna has made a lot of promises. Terra's stablecoins are designed to be price stable, making them suitable for a wide range of traditional financial uses, including lending and borrowing. Given recent events, this has shaken confidence in Terra's ability to work in the DeFi sector. If Terra can rebuild investor confidence, we could see the token rise again.
Earn interest from staking
One of the nice things about Terra Luna is that the price of the Luna token doesn't necessarily have to rise for investors to make money. The Terra blockchain works using the Proof of Stake (PoS) transaction verification algorithm, which requires Luna to be placed in stakes on the blockchain for transactions to be processed.
Stacking cryptocurrencies allows you to earn rewards every time a transaction is verified. In effect, you earn interest on Luna tokens just for holding Luna.
Opportunities for arbitration
You can also use the Terra Luna structure to find arbitrage opportunities. When the price of TerraUSD, for example, rises above the price of USD, you can burn Luna to extract TerraUSD and then sell it for more than its face value.
As we now know, this system was not as "reliable" as expected. However, given that TerraUSD is still trading well below $1, there is certainly a possibility that it will reach $1 again - meaning that there may now be an arbitrage opportunity.
Terra Luna price
The price of Terra Luna has been on a wild ride over the past year. At the beginning of 2021, the Luna token was worth less than 1$, and by the end of the year it had reached almost 100$ per token.
Terra Luna then started 2022 on a weak footing, slipping to a low of around $47 per Luna cryptocurrency in late January. After rising in early April, LUNA's price fell by 99%, following the de-pegging of TerraUSD. At the time of this writing in May 2022, LUNA is currently trading at $0.0119.
This gave LUNA a market capitalization of just $328 million, making it the 215th largest cryptocurrency in the world.
Terra Luna price forecast
Price forecasts for Terra Luna vary widely, although a bullish thesis is highly risky given current events. Given that Terra is currently 99% below the April 2022 maxima, it is difficult to make any assumptions based on technical analysis.
There is certainly a chance that LUNA could go all the way to 0$, thus evaporating from the Terra ecosystem. However, we may also see a quick rebound if TerraUSD were to peg again - meaning that "anything can happen" is undoubtedly a true statement.
Ways to buy Terra Luna
When it comes to how to buy Luna cryptocurrency, there are several different options. Here we will look at the most popular ways to buy Luna.
Buy Terra Luna with PayPal
You can buy Terra Luna using PayPal on some cryptocurrency exchanges, such as eToro. All you have to do is make a deposit to the exchange account using PayPal funds.
It is worth noting that PayPal has its own cryptocurrency exchange. However, it does not offer Terra Luna and there is no way to send your cryptocurrency to an external wallet, so there is no way to purchase Terra Luna through PayPal directly.
Buy Terra Luna with a credit or debit card
Most of the major cryptocurrency exchanges allow you to purchase Terra Luna with a credit or debit card. The problem is that many of them charge high fees, which can be as high as 4% or more of the value of your purchase. We recommend using an exchange like eToro, which does not charge any additional processing fees when you fund your account with a credit or debit card.
eToro also provides a convenient cryptocurrency app, which means you can buy cryptocurrencies and manage your wallet conveniently and securely directly from your smartphone or tablet.
Terra Luna's Best Wallet
To safely store your Terra stablecoins or Luna cryptocurrencies, you will need a cryptocurrency wallet. Cryptocurrency wallets work a bit like traditional bank accounts - they are centralized hubs for storing all your cryptocurrencies and sending and receiving cryptocurrencies. In addition, many cryptocurrency wallets support decentralized financial applications such as saving, borrowing and staking cryptocurrencies.
There are several different types of wallets you can use to store Terra Luna. Hot storage wallets, many of which are software wallets, are connected to the Internet, making them easier to use. Because they are already connected - and often integrated with a cryptocurrency exchange - you can buy, sell, send and receive cryptocurrencies at any time. However, hot wallets are more susceptible to hacks because they are always connected.
Cold wallets, most of which are hardware wallets, are more secure because they are disconnected from the Internet most of the time. However, they can be a bit cumbersome, as you have to connect them every time you want to interact with your cryptocurrency.
If you are looking for the best Terra Luna storage wallet, we recommend the app eToro Money wallet. This free wallet is available for iOS and Android devices and is capable of storing hundreds of different cryptocurrencies, not just Terra Luna. It is connected to the eToro cryptocurrency exchange, making it easy to buy, sell and exchange cryptocurrencies. In addition, the eToro Money app is very secure.
You can download the eToro Money app today from the Apple App Store or Google Play.
We've reviewed where to buy Luna cryptocurrency and whether LUNA is a good buy - only invest what you can afford to lose, because despite the low price point after the crash, it's still volatile. If you are ready to invest in Terra Luna, you can buy LUNA at eToro with low trading fees. It was re-listed by eToro on May 19, 2022.
FAQ - When purchasing Terra Luna Classic
Terra Luna is actually 2 cryptocurrencies: Terra, a series of stablecoins, and Luna, a management token that is used to mint Terra. Together, Terra Luna makes it possible to create stablecoins and support decentralized financial applications.
You can buy Terra Luna on cryptocurrency exchanges such as eToro, Crypto.com, Coinbase and Binance. We recommend eToro because of its low fees and user-friendly cryptocurrency investment tools.
It's hard to say, given the unfortunate de-pegging that has taken place recently. However, there is also a bullish thesis that Terra may regain its peg, leading to huge gains.
Our full guide above explains how to buy Luna cryptocurrency. The best way to get started is to register with a cryptocurrency exchange, such as eToro, which offers trading on Terra Luna.
The price outlook for Terra Luna is very mixed, especially given the recent events surrounding the cryptocurrency. However, if Luna were to hit a bottom, there is an argument that the token could rise again.
The views and opinions expressed here are solely those of the author and should not be taken as financial advice either. Every investment and transactional activity involves risk, so you are advised to do your own research when making any trading, investment or financial decisions.