https://wccftech.com/crypto-carnage-pummels-terra-luna-coin-as-the-ust-stablecoin-loses-its-peg-and-bitcoin-based-intervention-fails-to-restore-stability/

Terra (LUNA), a public blockchain protocol that powers a number of non-collateralized stablecoins, is facing its most serious threat yet as the carnage in the broader crypto sphere has de-pegged TerraUSD (UST) and caused LUNA coin's price to crash over 50 percent in the past 24 hours.

As a refresher, the TerraUSD (UST) is a stablecoin pegged to the US Dollar. Terra maintains this peg by algorithmically adjusting the supply of UST and LUNA. If the price of UST falls below $1, the supply of UST is burnt by minting LUNA, thereby restoring the peg. On the other hand, if the price of UST exceeds $1, LUNA is burnt to mint more UST, thus increasing the stablecoin's supply and reducing its price.