There are few DeFi protocols in the market that still ring in the heads of crypto investors that Terra and Luna. When it comes to some of the worst crashes that the market could possibly endure, this crash was just the perfect storm.
Not only did it take away nearly $60 billion from the crypto market, but it also happened right after the Celsius exchange filed for bankruptcy, locking away $4 billion in various coins of various investors.
Therefore, after falling after quick succession, it spooked a large percentage of investors, which led to the market losing over $2 trillion. Investors are still too scared to jump back into cryptocurrencies, as it helped many see the importance of government regulation throughout the industry.
But despite all of the damage that these two protocols were able to cause, they are still the 60th largest DeFi protocol in the market right now.
Total Value Locked of Terra Classic
The classic Terra network, despite being the same one that was responsible for one of the biggest crashes in the industry, has still managed to make a considerable comeback. The network as a whole has a total valuation of $12.36 million.
Breaking down the most popular protocols on the network included Pylonn Protocol ($587K), Spectrum Protocol ($1.33m), Anchor Protocol ($1.6m), Astrport ($4.47m), and Terraswap ($5.24m).
Of course, there were other major DeFi protocols that were responsible for this rise, but they were not as prominent as the ones mentioned above.
Investors are Still Optimistic
It is worth mentioning that Terra Classic’s current evaluation is nothing compared to when it crashed and brought the entire market down with it. However, the interesting thing about this specific DeFi network is that it has slowly managed to regain the trust of its investors. In many ways, this is a redemption story.
With each update and product launched, it is slowly becoming obvious that the people responsible for the crash have slowly distanced themselves from the company.
Of course, a lot of the effort that is going into rebuilding the company’s goodwill is coming from the community. The community really believes in this project and is really looking to revive both Terra and Luna Classic tokens.
Is it really worth Trusting
Despite the effort that Terraworks is putting into rebranding itself, the memory of the Terra and Luna crash is still fresh in investors’ minds. Therefore, they are less likely to trust a crypto project that was responsible for one of the worst crashes that the crypto market has ever experienced.
Furthermore, there is also the fact most of the community is trying to lure in newcomers by making plenty of hefty promises.