The Terra ecosystem, founded in 2018 by Daniel Shin and Do Kwan, has evolved from a payment network to a comprehensive suite of products and protocols. The ecosystem's most critical product is UST, a decentralized algorithmic stable coin built on Terra's backbone, Luna. The supply of Luna serves as a backstop for UST, absorbing fluctuations in demand by controlling supply. Terra raised $150 million in funding in 2021 for its ecosystem's development, with milestones achieved on the network.

Columbus 5:

Columbus 5 was a significant upgrade for the Terra network, introducing key features to Terra UST and Luna, such as a tweak to Luna's burn rate. Luna is now permanently burned instead of transferred to a community pool when UST is minted. The upgrade increased returns for Luna delegators with swap fees from Terra Station being distributed to delegators. The Cosmos Inter-Blockchain Communication (IBC) protocol was integrated with Terra, allowing bridging of assets and data sharing between Terra and other IBC protocols.

Top Projects:

Astroport: Astroport is a new automated market maker (AMM) in Terra that has a lot going for it. It allows users to trade in a wide range of assets and offers a variety of features.

Stator Labs: Stator is a staking platform on Terra that allows users to stake Luna in two strategies: plain staking and liquid staking. With plain staking, users receive validated rewards with auto compounding. With liquid staking, users receive Lunavax, a liquid token.

Star Terra: Star Terra is a gamified launch pad on Terra that allows users to participate in fundraising rounds for upcoming projects. Users have to join factions by staking STT to compete for allocations.

Kujira: Kujira provides tools and infrastructure for developers to build scalable, reliable, and secure applications on Terra. It also offers an API and SDK for developers to integrate their projects with Terra.

Conclusion:

The Terra ecosystem has grown substantially, with key upgrades and milestones achieved in 2021. The network's success is largely determined by its most crucial product, UST, and its supply of Luna. Terra's top projects, including Astroport, Stator Labs, Star Terra, and Kujira, offer a wide range of features and opportunities for users to explore.