Price variations in cryptocurrencies are well known by anyone involved in the markets and ecosystems that have been created by the invention of blockchains.Because of the set supply schedules and speculative demand, nearly all cryptocurrencies see wild price changes.This price change has blocked the adoption of cryptocurrencies as a medium of exchange or as transactional currencies.Very few people want to be paid in a currency that could reduce by 10-20% or more in 24 hours.when deferred payments are involved like mortgages or employment wages this problem is made worse.Using the current volatile digital currencies in these cases is awfully expensive and unreliable.

Terra Protocol?

Some projects are working on a resolution to this issue, and one of them is the Terra Protocol.

• It uses an elastic monetary policy to create price-stable cryptocurrencies that are pegged to a variety of fiat currencies.
• The Terra Protocol is an innovative approach to cryptocurrency volatility. 
• Currencies have well-known network effects.
• A consumer doesn’t likely to adopt a new currency unless several sellers are accepting that currency.
• But at the same time, Sellers have little or no incentive to accept a new currency unless there’s strong customer demand to do so.
• This is one explanation for the lack of mainstream adoption of Bitcoin as a transactional currency.
• The team at Terra Protocol believes that an Elastic currency policy is a solution to stability for cryptocurrencies.
• That’s a strong fiscal policy can drive the adoption of new cryptocurrencies.
• So they are creating an efficient money spending system, managed by a Treasury, with multiple motivation programs competing for financing.
• The Terra Protocol with its balance between serve stability and adoption represents a meaningful start to fiat currencies as a means of payment and store of value.

What is the Terra Protocol?

Terra is a blockchain protocol that develops and supports stable payments and open financial infrastructures. The entire protocol is supported by a basket of seigniorage (Seigniorage is the difference between the value of currency/money and the cost of producing it. It is essentially the profit earned by the government by printing currency) stable coins pegged to various fiat currencies.The LUNA token stabilized all algorithmically by the native asset of the blockchain,

“Terra and LUNA make up the dual token ecosystem of the Terra Protocol.” 

• By releasing fiat pegged stable coins Terra is one part digital central bank.
• Another part of the system helps replace the current complicated and expensive payments chain that includes banks, payment gateways, and credit card networks.
• Terra is thus providing efficiencies for Sellers and consumers while continually improving the ecosystem’s infrastructure and tools to eventually reach a transparent, distributed, credibly neutral payments system.
• The project is already boosting mass adoption through its partner system CHAI, a South Korean payments gateway that already has over 2 million users.
• Using that as a springboard the team hopes to create a more widespread system by moving into other areas of Asia.

What is LUNA?

LUNA is the native token of the Terra network.Used for staking to secure the network, governance, and collateralization for the price-stability of the stable coins.LUNA is the basis of the backbone and foundation of the entire Terra network and ecosystem.

LUNA Staking Rewards?

• The primary purpose of LUNA is to protect the network by locking value in the Terra ecosystem through a staking System. 
• The holders of LUNA are exposing themselves to the price Change risk of the LUNA token itself.
• Staking rewards for LUNA holders is a way to encourage them to take on these risks and to hold LUNA long-term.

Is Luna coin a good investment?

• The answer is solid YES!. Because Terra Luna has good Price run in the past. Also, it is a Long term investment for sure.
• According to analysts, it will reach the 50$ mark in 2022.

How to buy Terra (LUNA)?

• Binance
• OKEx
• Huobi Global
•  KuCoin
• VCC Exchange
• You can buy (LUNA) from the above exchanges using USDT as your Digital Currency.

What problem does LUNA solve?

To reduce market centralization is the main issue luna project tries to overcome.

Terra (LUNA) Price Prediction for next 5 years?

luna token is being thorough a lot.it means that it builds its own ecosystem slowly.

We know Crypto Market is volatile than the Stock market So, price predictions are just analytic data and calculations. But they think a $100 luna token in 5 years is possible.