Terra is a decentralized payments network that operates using the Tendermint Proof-of-Stake (PoS) consensus mechanism. LUNA is the native reserve token of the Terra protocol, and is used to stabilize the price of Terra stablecoins, mine transactions through staking, and provide monetary incentives for validators on the Terra blockchain.
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Because stablecoins are often pegged to FIAT currencies with stable values, they are useful tools for currency conversion. Coins such as USDC, USDT and QCAD won't swing wildly up or down in value between withdrawal and funding another account.
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