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More Curiosity Surround TUSD Following Founder’s Whale Transaction

Published 2023-03-04, 07:44 a/m
© Reuters.  More Curiosity Surround TUSD Following Founder’s Whale Transaction
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Coin Edition -

  • The growing status of TUSD stablecoin amid a falling sector has raised some eyebrows in the crypto industry.
  • Justin Sun’s recent 100,000,000 USDC transfer to a Binance wallet increased the inquisitiveness surrounding TUSD.
  • From a value of $750 million in December 2022, the TUSD market cap has jumped to $1.2 billion as of the time of writing.

The growing status of Justin Sun’s TUSD stablecoin amid a falling sector has raised some eyebrows in the crypto industry. Sun’s recent transfer of 100,000,000 USDC to a Binance wallet, as indicated by the blockchain tracker, Whale Alert, further raises the inquisitiveness surrounding TUSD.

The stablecoin sector of the crypto market has been in a meltdown since the crash of Do Kwon’s Terra in Q2 2022. The total market capitalization of stablecoin dropped from $200 billion to its current level of $130 billion, reflecting a 35% loss in capitalization.

Leading the fall by stablecoins are Frax and BUSD. Both coins lost 65% and 60% of their market capitalization during the meltdown. Even the largest stablecoin issuers in Tether and Circle’s USDC have not escaped the crash, as they have lost between 15% to 25% of their market capitalization since the peak in 2022.

Another stablecoin affected by the general meltdown in the Paxos issued BUSD, whose market cap fell from a $22 billion high in 2022 to $10 billion. The recent challenges faced by BUSD from regulators in the U.S. did not help its course either.

Amid the crumbling stablecoin market, TUSD has soared. From a value of $750 million in December 2022, the TUSD market cap has jumped to $1.2 billion as of the time of writing, attracting the attention of crypto participants in the process.

TUSD’s rise comes against several obstacles, including a perceived abandonment by its auditor, Armanino, implying that the project does not get regular attestations. Meanwhile, other stablecoins like TAUD, TCAD, and TGBP continue to get Armanino’s attestation.

Whale Alert’s notification of Justin Sun’s massive USDC transfer to Binance contains no additional detail. Users are making out the information whatever they wish based on individual sentiments.

The post More Curiosity Surround TUSD Following Founder’s Whale Transaction appeared first on Coin Edition.

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