Terra is the second-largest Decentralised Finance (DeFi) blockchain - after Ethereum. The total value locked (TVL) in Terra is over $15 billion.
Terra is an open-source public blockchain protocol for algorithmic stablecoins. It enables the creation of fiat-pegged stablecoins that can be spent, saved, traded, or exchanged on the Terra blockchain.
The protocol consists of 2 main tokens:
1. Terra stablecoins: These are stablecoins that are minted by burning Luna.
2. Luna: This is the protocol's native staking token that is used for governance and in mining.
The top 5 DeFi protocols that run on Terra are Anchor, Lido, Astroport, Terraswap, and Mirror.
Consensus mechanism:
Tendermint Delegated Proof of Stake