Terra is a blockchain on which users can create and transfer stablecoins. Stablecoins are cryptocurrencies created in order to represent different assets like currencies or commodities in the form of a crypto asset. They also support the creation of decentralized applications (DApps) on their platform. Terra was made in 2018 by a Korean company called Terraform Labs, which was founded by Daniel Shin and Do Kwon. The platform launched in 2019 and the first stablecoin that was created was the KRT stablecoin, which is pegged to the Korean Won.

How Terra Works

Terra connects with the blockchain and one of the main parts of the Terra platform is called the Terra Platform Network. Every cryptocurrency user has the same username as the Terra platform network so that users can create stablecoins on the platform and link them to the Terra Platform Network. Once you create a stablecoin on the platform, it can be converted to other stablecoins on the network or you can use your stablecoin to purchase KRT tokens, the stablecoin that represents Terra’s first altcoin (identical to the Terra platform token, TRT). 

What Is KRT? KRT, also known as Kin, is Terra's first altcoin that is available to the public. This cryptocurrency was created on the Terra Platform.

Terra’s History

In November 2017, Terra launched its crowdfunding campaign to raise money for a decentralized application (DApp) called TerraNXT. The project received a lot of attention on social media and was the most funded crypto project that year. The TerraNXT app was created to improve the security of the blockchain. A month later, Terra also started to develop the Terra stablecoin, which was released to the public in May 2018. TerraNXT and Tera were developed as side projects to provide stablecoins to the cryptocurrency space and had no commercial purpose.

Currently, Terra is the only cryptocurrency that is creating and selling stablecoins. With stablecoins, individuals can trade their cryptocurrency against various assets and create their own stablecoins.