Hex Trust, Asia’s leading digital asset custodian which focuses on enabling DeFi for financial institutions, has announced a partnership with Terra, a blockchain network powered by a family of native stablecoins and its native staking and governance token Luna.
The partnership enables the integration of the Terra blockchain and the support of staking services for the Luna token, within Hex Trust’s fully licenced custody platform, Hex Safe. Hex Safe allows clients to safekeep digital assets and securely access both the DeFi and CeFi ecosystems and third-party platforms including exchanges, lending, borrowing, and staking platforms.
Terra’s payment network is supported by a family of native stablecoins, which are price-stable digital currencies pegged to the world’s major currencies. Underlying the stablecoins is a protocol programmed to ensure price-stability through an algorithm that expands and contracts the overall money supply.
The network of stablecoins is backed by Luna, the staking token that powers Terra’s Delegated Proof-of-Stake blockchain. In exchange for providing stability and security, Luna stakers receive rewards from transaction fees and seigniorage. Anchor, the upcoming DeFi project with a consortium of leading PoS protocols, is also powered by Terra. Notable investors in Terra include investors Polychain Capital, FBG Capital, Hashed, 1kx, Kenetic Capital, Arrington XRP, Binance Labs and others.
Daniel Hwang, Head of Ecosystem Development at Terraform Labs, commented:
“At Terra, we’ve consistently strived to build our ecosystem into open financial infrastructure that will make money within easiest to spend and most attractive to hold. The mass adoption we’ve achieved through the Chai payments app in addition to the robust blockchain infrastructure created provides a clear path for partnering with Hex Trust to bring in natural next steps for adoption of DeFi applications like Anchor and bridging the gaps between CeFi and DeFi.”
Calvin Shen, Head of Sales and Business Development at Hex Trust, commented:
“Our clients depend on us to provide access to promising blockchain protocols, and Terra has demonstrated impressive growth in Korea and beyond. We are excited to support Terra’s network of stablecoins and help achieve its mission as the premier blockchain payment network.”
Terra is building a new financial infrastructure that works better for everyone. The network is powered by a family of stablecoins, each pegged to major fiat currencies all algorithmically stabilized by Terra’s native governance and staking token, Luna. Terra’s mission is simple: set money free by building open financial infrastructure.
Terra has made enormous strides in mass adoption within payments space from the Chai payments app built on its platform. Chai has risen to become one of the most popular applications built with blockchain with over 3% of the South Korean population using Chai to pay for goods and services ranging from Korea’s #1 online travel agency, #1 bookstore, #1 gaming publisher, #1 convenience store, the top e-commerce sites, and many more. As of September 2020, Chai currently has over 2 million users, an annual run rate of $1 billion, and has shown an average retention rate of over 80% when used with multiple merchants.
The Terra ecosystem has approached and achieved mass adoption that has resulted from solid go-to-market strategies with strong mechanism design. This has resulted in over $78 million in transaction fees within a 3 month period, over $25 billion GMV exposed to the over 2 million users on Chai, and placing 3rd in total transaction revenue only behind that of Bitcoin and Ethereum.
About Hex Trust
Hex Trust is the leading digital asset custodian for DeFi. Headquartered in Asia, the platform — Hex Safe — provides the safekeeping of digital assets and the secure connectivity to both the DeFi and CeFi ecosystems of exchanges, lending, borrowing and staking platforms. Hex Trust is fully licenced, has comprehensive insurance, and is backed by Kenetic, one of Asia’s leading blockchain firms.