Luna Foundation Guard’s bitcoin reserve became a visible market force on March 28, 2022. Terraform Labs co-founder Do Kwon told Bloomberg News that the organization made about $135 million of bitcoin purchases in four transactions during March 28, taking the balance of an address he identified as LFG’s to 27,784.96954740 BTC.
Bitcoin also reached $48,234 during the evening of March 28, according to Reuters, its highest price since December 31, 2021 and its highest point of 2022 at that stage. The conjunction mattered: a stablecoin organization was assembling a billion-dollar reserve in bitcoin just as the broader crypto market broke above a range that had contained it for much of the year.
What was verified on March 28
Bloomberg’s contemporaneous report said Kwon confirmed both the purchase activity and the address attributed to Singapore-based LFG. The public Bitcoin ledger supplies a durable transaction record for that address, but the ledger does not identify its controller. Ownership attribution therefore rests on Kwon’s statement to Bloomberg, not on the address data alone.
Kwon said LFG had acquired more than $1 billion of bitcoin since late January 2022. Bloomberg reported that the address had accumulated exactly 27,784.96954740 BTC by its observation time and that bitcoin traded near $47,570 during New York hours on March 28.
An institutional market note from Valkyrie Investments, also dated March 28, recorded bitcoin at $47,342.75 and assigned it a $904 billion market capitalization. Those are snapshot values, not a universal close. Crypto trades continuously across venues, and the report did not provide a precise timestamp beside the table.
Why Terra wanted a bitcoin reserve
LFG had described itself on January 19, 2022 as a Singapore nonprofit created partly to improve the sustainability and stability of Terra’s algorithmic stablecoins. Its stated mandate included building reserves intended to backstop the TerraUSD, or UST, peg during volatility.
That distinction was important. UST was not presented as a conventional dollar token backed one-for-one by cash in a bank. Terra’s design paired UST with LUNA through a mint-and-burn mechanism intended to support a $1 price. Adding bitcoin was an attempt to introduce a reserve asset outside the Terra ecosystem rather than rely entirely on LUNA and market incentives.
On March 28, the bitcoin reserve was still a developing policy and technical project. LFG’s description of the reserve as support for UST was a contemporaneous claim about intended function, not evidence that the mechanism had been fully deployed, stress-tested or guaranteed to preserve the peg.
A rally with several possible drivers
Reuters reported on March 29 that bitcoin’s March 28 peak lifted other crypto assets, with ether reaching $3,436, its highest level since early January 2022. Reuters also said bitcoin had risen more than 12% over the seven days ending March 28.
Market participants cited institutional adoption signals, including comments from BlackRock chief executive Larry Fink about digital currencies and international settlement. Valkyrie’s March 28 note separately called LFG’s purchases an important apparent catalyst. Neither report established a controlled causal link between LFG’s buying and bitcoin’s rally.
The narrower conclusion is supportable: a disclosed buyer was adding roughly $135 million of bitcoin on the same date that bitcoin set a 2022 high. The reserve purchases may have affected demand and sentiment, but public reporting did not reveal execution venues, order types, counterparties or enough timing detail to isolate their price impact.
What the date established
March 28, 2022 marked a notable convergence between Bitcoin and experimental stablecoin design. Bitcoin was serving not only as a traded asset but as a proposed reserve component for another blockchain economy. The scale made the experiment institutionally relevant, while the incomplete operating details made caution essential.
The event-day record supports the purchases, the attributed address balance and the market high. It does not support a guarantee that bitcoin reserves could stabilize UST, or a claim that one buyer alone caused the market breakout.
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