Terra Gets Sponsorship Deal Approval from LUNA Holders

Terra (LUNA) has had plenty of airtime on the crypto news wires in recent weeks. Last week, news of links to the Wonderland project and project member Michael Patryn weighed. The news led to a collapse in Wonderland token TIME and also to a sharp LUNA sell-off.

Terra enables users to trade Terra stablecoins while also allowing the use of native crypto LUNA to meet network fees, take part in voting, as well as providing Tarra stablecoin price stability.

Terra Joins Major Crypto Exchanges with U.S Sports Sponsorship Deal

In recent months, there has been a flurry of activity, with crypto exchanges looking to build their brands through major sporting events and some of the world’s most well-known sports teams and franchises.

Crypto.com (CRO) was particularly active in the sports sector at the turn of the year. Late last year, news hit the wires of crypto exchange Cypto.com buying 30 seconds of airtime at Super Bowl LV1. Earlier in December, Crypto.com had announced a sponsorship deal with U.S professional woman’s soccer team Angel City FC. Following in the footsteps of Crypto.com was Binance. In late January, Binance (BNB) became the new Global Main Sponsor of the Argentina’s national soccer team. Binance is also no stranger to the sporting arena. In 2021, Binance had a sponsorship deal with Italian football giant Lazio.

With Crypto.com and Binance actively building brand awareness, Terra has taken a plunge into sports.

Terra Receives Sponsorship Deal Approval from LUNA Holders

In the true sense of decentralization, Terra’s dokwon requested approval for UST40m to “Fund a Terra Brand Partnership with the (Redacted) Sports Franchise in one of the four major American professional sports leagues”.

According to the request, dokwon stated that the Terra Community Pool constituted one of the largest DAOs in the crypto industry, standing at approximately $2.74bn. $38.15m will be used to find a 5-year exclusive partnership deal to promote the Terra brand across various parts of the franchise home venue and its TV network as one of its leading partners.

LUNA Price Action

At the time of writing, LUNA was up 2.17% to $57.36. Through the early part of the day LUNA struck a morning high $58.07 before easing back. Resistance at the current month’s high $58.08 pegged LUNA back early on.

For the day ahead, a move through to $60 levels would bring January’s high $92.67 into play. LUNA would need plenty of support from the broader market for a near-term break out from $65 levels, however.

At present, LUNA continues to sit below the 50-day EMA, currently at $64.75, and the 100-day EMA at $61 levels. A breakout from the 50-day EMA would support the continued uptrend, with LUNA on looking to lengthen its current winning streak.

Since January’s sharp pullback, LUNA has found strong support. Recovering from a 31^st January current year low $43.50, LUNE bounced back to strike a current month high $58.08 on Saturday.