TerraKRW Node Specification

The Terra KRW cryptocurrency is still very young, it was founded in 2019. It belongs to the so-called stablecoins, the main thing for which is price stability. The biggest acceptance of this cryptocurrency in South Korea, so its additional designation KRW. This combination of symbols also means a currency such as South Korea won. Many cryptocurrencies, including Bitcoin, are a peer-to-peer combination of equal public nodes. The question of price stability of such cryptocurrency does not concern the creators of its algorithm at all. Cryptocurrency Terra KRW differs in that the price stability is set at the level of the algorithm.

To achieve the price stability, Terra KRW developers have pawned the variability of the miner's award at the algorithm level. The miner can only be a full Terra KRW node. The award of miners, confirming transactions, becomes Luna tokens. At the same time, the value of tokens is linked to currencies such as USD, EUR, CNY, JPY, GBP, KRW, and SDR (Special Drawing Rights used by the IMF). Since most Luna nodes currently use the Korean won, the KRW designation has become an additional symbol for cryptocurrency Terra. At the same time, rewards for free nodes that engage in mining, as well as transactions and stimulus grants, are assigned to SDR. The developers chose SDR because this financial instrument has minimal volatility. Through the use of atomic swaps in the network is an instant exchange, such as TerraKRW for TerraUSD or TerraSDR to TerraKRW.

Terra KRW relies on free blockchain nodes to confirm transactions. It uses the Proof of Stake (PoS) algorithm, according to which miners bet in Luna tokens to equalize the ratio of currencies in the Terra system using atomic swaps. The selection of the next crypto nodes provider, which will confirm Terra transactions, is made according to the size of his deposit in Luna tokens. The share of deposit miners in the total amount of Luna tokens is equal to the chance to become the next lucky crypto nodes provider. As with many cryptocurrencies, miners are rewarded with transaction fees. They amount to 0.1% of the amount, if the sender wishes, it can be increased to a maximum of 1% of the transaction amount.

Unlike many other cryptocurrencies, the Terra system occasionally burns overloaded tokens. If the reward for full cryptocurrency nodes grows, the number of burnt Luna tokens is reduced. If the reward for a full public node is reduced, Luna tokens are burned more, which reduces their total number. Fees and the rate of Luna burn are flexible parameters, which are recalculated weekly. The developers of the Terra cryptocurrency have already made sure that this algorithm works in practice. They have also done a mathematical simulation of what will happen to Terra in periods of strong price growth and strong price volatility. Unlike many other cryptocurrencies, Luna tokens are inflationary and their number is growing at an average of 15% per year.

Software updates for cryptocurrency Terra KRW and software updates for Terra KRW nodes are released regularly. We are actively developing Terra Dapps, which use Terra as a base currency. Update Columbus-4 allowed the use of smart contracts in the Terra network. For their writing and debugging is released framework Houston. And the update Columbus-5 is designed to connect blockchain Terra with other blockchains.