Pantera Capital CEO Dan Morehead said in a CNBC interview that algorithmic stablecoin ecosystem Terra (LUNA) is one of the most promising altcoins of 2022.
“It allows the algorithmic stablecoins to be built and they have the third most valuable stablecoin UST built on top of it, “ Morehead said.
“And it’s growing at a very very rapid rate. We think it’s one of the most promising coins for the coming year. So many people are just discovering it and just starting to trade it. It has a $31 billion market cap, so it still has plenty of room it can grow.”
In June, Morehead said at a conference that Terra could end up rising to prominence partially through a dominance of South Korea’s gaming market, one of the most important geographies for the industry.
“[Terra] is beginning to gain traction in the South Korean gaming market and that’s one of the leading markets for gaming in the world and so it’s starting to broaden out from stablecoins to much more interesting things,” he said.
Morehead, who founded Pantera Capital in 2013 to focus purely on digital asset investing, is also eyeing interoperable blockchain Polkadot for this year. He says the firm sees huge momentum with DOT, and makes reference to German telecom giant Deutsche Telekom’s decision to start building on Polkdadot and acquire DOT.
“I think we’re all coming to the conclusion that there won’t be just one blockchain in the future. There will be you know maybe 10 or 20 very important blockchains. And so Polkadot will help you move value from one to the other, and their first DeFi protocols are going live in the first quarter so we’re very excited about it.”
“There was a time when just holding Bitcoin and Ethereum was kind of a good proxy for the industry as a whole,” Morehead said. He points out that, “if someone is going to be converting from something into new things they’re probably selling Bitcoin and Ethereum.”