First, let's look at User growth. In the graph below, we will compare the unique number of active users on Anchor with all the active users on Terra.

• Number of active users on Anchor is about a third the number of all active users on Terra.
• Without Anchor, number of active users would probably shrink by at least a third.

Next, let's look at the value (UST) growth. In the graph below, we will compare Total Value Locked (TVL) on Anchor with Terra Market Cap.

• As of the time of writing (8 May'22), LUNA has around $25B total market cap while Anchor TVL is around $18B or around 72% of LUNA market cap.
• This would suggest that most of LUNA market cap are derived from UST deposited into Anchor, most probably due to the attractive risk-free Anchor 20% yield.
• A world without Anchor means that most of UST deposited into Anchor would have to flow elsewhere, either burned back to LUNA (which might cause a price crash if done abruptly) or put to use in other protocols.
• Therefore, it critical for Terra ecosystem to continue to grow and find new use cases and utilities for UST.