What is wrapped luna and how does it work on Coinbase?

3 answers

• May 03, 2022 · 3 years ago
  Wrapped luna is a tokenized version of the native cryptocurrency of the Terra blockchain, called luna. It is created to enable luna to be used on other blockchain networks, such as Ethereum. On Coinbase, wrapped luna can be traded and used for various purposes, including decentralized finance (DeFi) applications and yield farming. It provides users with the ability to access the benefits of luna while leveraging the functionalities of other blockchain ecosystems.
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• May 03, 2022 · 3 years ago
  Wrapped luna works on Coinbase by utilizing smart contracts. When a user deposits luna into a smart contract, an equivalent amount of wrapped luna is minted and made available on the Coinbase platform. This wrapped luna can then be traded, staked, or used in other DeFi activities. The smart contract ensures the proper conversion and maintains a 1:1 peg with the original luna. This allows users to seamlessly interact with luna on the Terra blockchain through the Coinbase interface.
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• May 03, 2022 · 3 years ago
  BYDFi, a popular decentralized exchange, also supports wrapped luna. Users can trade wrapped luna on BYDFi and take advantage of its liquidity and trading features. BYDFi offers a user-friendly interface and competitive fees, making it a convenient option for those interested in wrapped luna trading. It's important to note that while Coinbase and BYDFi support wrapped luna, they are separate platforms with their own unique features and user experiences.
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