TerraClassicUSD (USTC) Surges 310% Following Binance Futures Contract Launch

Algorithmic stablecoin USTC, a remnant of the collapsed Terra ecosystem, is on a path to recovery with a more than 300% increase after being listed on Binance Futures USDⓈ-M contracts.

TerraClassicUSD (USTC) Surges 310% Following Binance Futures Contract Launch

According to price data from CoinMarketCap, USTC-LUNC (formerly UST-LUNA) from the Terra Classic ecosystem has made an impressive recovery over the past week, driven by the announcement from the market's largest exchange, Binance, introducing the USDⓈ-M USTC Perpetual Contract with leverage up to 50x.

Specifically, USTC has surged 311% over the 7-day period as of the time of writing, currently trading around $0.055. The stablecoin is even expected by the community to soon return to its $1 peg.

Price fluctuation of USTC over the 7-day period, screenshot from CoinMarketCap at 11:00 AM on 30/11/2023

The supporting token, LUNC, has also benefited from the news, rising 64% over the weekly timeframe and currently priced at $0.0001226.

Price fluctuation of LUNC over the 7-day period, screenshot from CoinMarketCap at 11:00 AM on 30/11/2023

On November 22nd, the Terra Classic Foundation reported a total of 589 thousand transactions. By November 28th, transaction fees from LUNC transactions had reached a record $580 million, shared across Terra's X accounts.

Another growth driver for the stablecoin comes from Mint Cash's proposal to pivot USTC's direction, outlining a vision to integrate Bitcoin as a backing asset for USTC.

Additionally, Mint Cash disclosed plans for an airdrop for holders of USTC and LUNC tokens.

Immediately after the collapse, developers launched a new version of the Terra blockchain, rebranding it as Terra Classic along with the LUNC and USTC tokens, reflecting ambitions to revive the project. In September, the community proposed halting USTC minting to expedite the coin's return to the $1 mark.