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Terra is a blockchain protocol designed to use fiat-pegged stablecoins for stable global payment systems. Its whitepaper describes combining the stability and adoption of fiat currencies with the censorship-resistance of Bitcoin, offering fast and low-cost settlements. Development began in January 2018, with the mainnet launching in April 2019. By September 2021, it supported stablecoins pegged to the U.S. dollar, South Korean won, Mongolian tugrik, and the IMF's Special Drawing Rights, with plans for more. On May 28, 2022, a new chain named Terra (LUNA) was launched, and the original chain was rebranded as Terra Classic. The original LUNA token became LUNA Classic (LUNC), and all stablecoins were renamed with a 'C' suffix. The new chain does not include Terra stablecoins. The term 'classic' may reference the Ethereum/Ethereum Classic split.

Luna Classic (LUNC) is the original native token of the Terra blockchain, released in August 2018. It existed before the launch of the new chain, now called Terra (LUNA), and operates on the original Terra code. Its primary function was to absorb price deviations of the algorithmic stablecoin UST, which was pegged to the U.S. dollar through minting and burning to balance supply and demand. In May 2022, UST lost its peg and collapsed, causing the algorithm to mint trillions of LUNA tokens, leading to hyperinflation and a 99% drop in value. This resulted from the Terra Ecosystem Revival Plan 2, which forked the blockchain to create a new chain while preserving the old one. The existing chain and token were rebranded as Terra Classic.

Terra was founded in January 2018 by Daniel Shin and Do Kwon. They aimed to promote blockchain adoption through price stability and usability. Kwon served as CEO of Terraform Labs. Before Terra, Shin co-founded TMON, a major South Korean e-commerce platform, and later Fast Track Asia, a startup incubator. Kwon previously founded Anyfi, a wireless mesh networking startup, and worked as a software engineer at Microsoft and Apple.

Terra distinguishes itself by using fiat-pegged stablecoins, aiming to combine cryptocurrencies' borderless nature with fiat stability. It maintains a one-to-one peg via an algorithm that adjusts stablecoin supply based on demand, incentivizing LUNA holders to swap LUNA and stablecoins at profitable rates. Terra has partnerships with payment platforms, notably Chai in South Korea since July 2019, processing transactions with merchant fees averaging 2-3%. It is also supported by the Terra Alliance, a group of businesses promoting Terra adoption. In February 2019, it announced e-commerce platforms from ten countries, representing 45 million users and significant gross merchandise volume.

As of August 2022, the total supply of Terra Classic (LUNC) is 6.9 trillion, with approximately 6.5 trillion LUNC in circulation.

The Terra blockchain uses a proof-of-stake consensus algorithm based on Tendermint. LUNA token holders stake their tokens as collateral to validate transactions, earning rewards proportional to their stake. They can also delegate to other validators. The network provides guidance to validators on security best practices. In May 2019, CertiK completed a security audit, examining the economic model, architecture, and coding language. CertiK found the network's modeling and mathematical reasoning sound, though it did not comment on performance.

Terra Classic (LUNC) is available on major cryptocurrency exchanges, including Binance, KuCoin, Kraken, Huobi Global, PancakeSwap (V2), MEXC, and Gate.io. These platforms continue to support LUNC after the rebranding. Coinasity shows the live LUNC price, averaged across major exchanges.