Tron (TRX) Is Pumping Amid A Crypto Crash, Here’s Why
Tron (TRX) token price surged on Friday after founder Justin Sun announced plans to launch a new stablecoin based on the blockchain. The token, called USDD, will be a decentralized token.
TRX token prices surged 10% in the last 24 hours, reaching a three-week high of $0.074. While most altcoins followed Bitcoin’s (BTC) lead lower, TRX managed to decouple from this sentiment.
Bitcoin is trading at an average price of $40,700, down by 2% in the last 24 hours. Total crypto market capital stands at $1.89 trillion, down 1.5% in the past 24 hours.
Sun pledges to raise $10 bln for USDD
Justin Sun pledged to launch a new decentralized dollar stablecoin USDD, claiming that the project will be in collaboration with some “major blockchain players”.
The Tron founder is looking to raise $10 billion worth of liquid assets within the next year. The fund will be used as an early stage reserve to maintain USDD’s dollar peg amid uncertain market conditions. The mechanics of the token appear to be similar to those of Terra’s UST, the largest algorithmic stablecoin with a market capital of nearly $18 billion.
The biggest stablecoin USDT has a total market cap of over $83 billion.
USDD will be influenced by TRON’s native currency, TRX. Sun said the stablecoin will be accessible on BNB and Ethereum (ETH) chains. Meanwhile, the USDD is scheduled to enter circulation on May 5, 2022.
TRX 24 hr trading vol up by 300%
The news update has worked for the TRX token amid the current market dump. TRX is trading at an average price of $0.068, at the press time. Its 24 hour trading volume has skyrocketed by 300%. The current pump has helped the Tron tokens to become the 22nd largest cryptocurrency. TRX’s total market capitalization stands at $6.9 billion. But it is still 77% down from its all time high of $0.3.
As the news broke out, Whales’ transactions moving TRX appeared to be rising. Two whales moved over $123 million worth of 1.69 billion TRX tokens between anonymous wallets.
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