The capitalization of USDD, the stablecoin on the Tron (TRX) blockchain, is “only” $270 mln according to Justin Sun. He added that Tron would not have any problems repelling speculative attacks given its capitalization and reserves.
Tron is faring far better than most
At the time of writing, TRX was trading for $0.07 and had lost just 4.27% of its value. In comparison, most cryptocurrencies in the top 100 by market cap lost 20-30% in the last 24 hours, which have been extremely painful. Some have shed as much as 40%.
It remains to be seen whether Sun’s enthusiasm will be warranted long-term, but it has not gone unnoticed by experts. Dyma Budorin, Founder and CEO at Hacken, commented:
Such a statement is in Justin’s style — he never misses a single newsbreak, which might help him to attract attention. Let me remind you that in the early days of the war, he tweeted a screenshot of his call with the state representative of the Russian Federation about the use of TRX, in case the Russian Federation was disconnected from Swift.
Kostiantyn Oleshko, product owner of CER.live, added:
In a falling market, all algorithmic stablecoins are at risk. We advise to diversify your stablecoin portfolio to mitigate all risks.
About Kostiantyn Oleshko: Kostya is a master of science in applied cryptography with 6+ years of expertise in the blockchain industry.
He used to work as a Project Manager at many crypto projects, including the entities linked to the National Bank of Ukraine that were developing E-Hryvnia, the Ukrainian CBDC. He strongly believes that security is the key to crypto mass adoption.
About Dyma Budorin: Dmytro is a blockchain economy influencer who is actively promoting the development of the virtual assets market in Ukraine in cooperation with the Ministry of Digital Transformation of Ukraine.
In 2021, Dyma became one of the top-55 Ukrainian IT entrepreneurs according to reputable news outlets.