Korean stablecoin, Terra saw a massive spike in volume yesterday, up 280% on the previous day. And, as a cryptocurrency that sells itself as a payment system, this may well hint at the burgeoning acceptance of crypto as money.
Terra Takes On The Problem Of Crypto As Payment
For the most part, cryptocurrencies as payment have failed to capture the interest of the general public for a variety of reasons. Most notably, in relation to volatility. And perhaps to a lesser extent, due to the negative network effect of people being comfortable with what already is.
And while the benefits of using cryptocurrency as money are apparent, without people embracing this, low adoption, due to comfort and familiarity with the status quo, becomes a self-fulfilling prophecy.
Nonetheless, stablecoin offering Terra is looking to change that. The project recognizes the intricate relationship between adoption and positive network effects. Which it hopes to address by way of a price-stable and growth-driven cryptocurrency offering. But more than that, it differentiates itself by having a clear roadmap plan for mass adoption.
Indeed, the people behind this project see Terra winning hearts by offering a fairer deal for all. This includes lower fees and stable mining incentives, and not at the expense of low merchant acceptance.
Cryptocurrency As Money
Terra is a relatively new offering in the cryptocurrency space, having released its whitepaper in April of this year.
However, the team has made great strides in pushing the narrative of crypto as a useable form of money.
Just a few weeks ago they announced a tie-up with CU, Korea’s largest convenience store chain, with 13,500 locations.