The stablecoin project Terra plans to add the “cross-chain interoperability smart contract” function

Daniel Hwang, head of development of the stablecoin project Terra Ecosystem, stated in the Huobi AMA that all stablecoins linked to fiat currencies can be stabilized through Terra’s native token Luna. Terra plans to release funds by establishing an open financial infrastructure. Luna can obtain stability, utility and value from Terra’s series of stablecoins. It is not only the collateral for the entire Terra economy, but also the supporting token that protects the PoS network. Luna can be used as an ordinary encrypted asset to hold and trade, it can also be used to accumulate transaction fees for network rewards, and it can also be used to formulate and vote on governance recommendations. Currently, the stablecoin projects supported by Terra include KRT, UST, MNT, and SDR. Terra plans to add the function of “Cross-Chain Interoperability Smart Contract”, which is mainly supported by the CosmWasm tool. Smart contracts can interoperate locally with the Cosmos blockchain ecosystem through the IBC bridge. Smart contracts use the speed of WASM and the functions of Rust to safely solve the most common attack problems on Ethereum.