Dogecoin (DOGE) jumps above Terra (LUNA)

Alex Dovbnya

Terra (LUNA) Continues to Fall as Market Cap Drops Below That of Dogecoin (DOGE)

Dogecoin (DOGE), the leading meme cryptocurrency, has risen to ninth place by market cap, despite its price dropping more than 4% in the past 24 hours.

It has managed to topple the controversial Terra (LUNA) token, which has fallen another 14% amid a brutal sell-off.

LUNA is down 32.93% in the past week after dropping a whopping 17% last Friday.

The most recent price crash is the Wonderland imbroglio spillover effect.

As reported by U.Today, Daniele Sestagalli, the co-founder of the controversial reserve currency protocol, has pulled the plug on the controversial decentralized financing project, despite the majority of the community voting to keep it alive. Wonderland came under fire after it was revealed to be run by convicted criminal Michael Patryn who was also the co-founder of the troubled QuadrigaCX exchange.

Although the original project now appears to be dead, community members known as “frogs” have come up with a proposal to launch Wonderland 2.0, a revamped version of the project with a different DAO structure.

Some have also suggested merging Wonderland with Abracadabra, another DeFi project in the Frog Nation, but such a proposal is unlikely to materialize.

Since it is possible to deploy the TerraUSD (UST) stablecoin by lending Abracadabra’s Magic Internet Money (MIM) stablecoin, the price of the LUNA token was directly impacted by the implosion of the scandal-ridden Wonderland.

LUNA’s bearish streak was also tied to the depleted reserves of the flagship Anchor protocol, which offers a 20% fixed interest rate. Terraform Labs co-founder Do Kwon downplayed the predicament while also announcing a plan to tackle the depletion problem with an immediate injection of cash.

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