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Luna Foundation Guard buys additional $231 million worth of BTC

Luna Foundation Guard (LFG) acquired an additional $230 million worth of bitcoins today, according to activity on a crypto wallet owned by LFG.

To purchase bitcoins, LFG transferred $231 million USDT stablecoins from its Ethereum wallet to crypto exchange Binance, in exchange for 5,040 BTC, and withdrawn to custody in three transactions.

Luna Foundation Guard is a Singapore-based nonprofit working on the Terra blockchain that plans to purchase billions of dollars of bitcoin as a reserve asset for Terra (UST), the largest algorithmic stablecoin on the blockchain.

Terraform Labs CEO and LFG director Do Kwon confirmed the massive bitcoin purchase in his recent Twitter post saying that he “purchased 230 million BTC” among a number of other personal works he finished.

Luna Foundation Guard transferred its newly purchased bitcoins from Binance to a bitcoin wallet believed to be under its control. Separately, it withdrew 490 BTC, 586 BTC, and 3,964 BTC in three transactions amounting to 5,040 BTC ($230 million) overall at the time of transfer.

LFG’s wallet currently holds 35,767.9 BTC worth more than $1.6 billion — an amount that has grown rapidly in the last month. Based on its trading history, LFG’s last major purchase prior to today was on March 30 for 2,943 BTC, worth $139.3 million.

As previously reported by The Block, LFG aims to accumulate $3 billion in bitcoin in the short term and hold it as a second reserve cryptocurrency (besides LUNA) to back the UST. This stablecoin has a market cap of $16.7 billion, making it the fourth largest stablecoin in the crypto market.

To reach the $3 billion goal, it is expected that LFG will continue to buy more bitcoins in the near future. Longer-term, LFG aims to achieve a massive $10 billion in bitcoin to hold its stablecoins, Kwon announced last month.