Much like its predecessor, Terra is powered by Tendermint evidence-of-stake. Validators stake their LUNA tokens as collateral and earn rewards proportional for their stake when they suggest and validate blocks. This really is incentivized by an annual inflation rate of 7%, which goes to validators. Luna Foundation Guard (LFG) https://financefeeds.com/record-market-pump-incoming-with-these-4-cardano-ada-alternatives-poised-to-lead/