TRX Exchange Volume Plunges 393% On FTX
Tron network’s native TRX token surged 393% in 24h exchange, from 6 cents to $2.5, on troubled crypto exchange FTX, despite trading for 6 cents on other major exchanges such as Binance and OKX.
Tron-based assets such as BTT, SUN, and JST also skyrocketed, trading for several multiples on FTX in comparison to other exchanges.
It isn’t the result of repeated fat finger trades, nor have FTX traders gone insane on TRX.
The high prices are a sign of hope, that Tron-based assets will be redeemed 1:1 by Tron founder Justin Sun. Traders on FTX cannot withdraw any assets at the time of writing, and trading accounts are selling for pennies on the dollar.
However, TRX may be a viable option for some cryptocurrency investors.
Earlier in the day, Sun offered a “way forward” for FTX, which had gone bankrupt as a result of a CoinDesk report, stating that the ongoing liquidity crunch was “harmful to the industry development and investors alike.”
Binance founder Changpeng Zhao was previously the frontrunner to acquire FTX, but that deal fell through after an examination of FTX’s books.
This comes after another Sun tweet from yesterday. “We will do everything we can to protect our users,” he said, adding that “we will exchange all #TRX, #BTT, #JST, #SUN, #HT on the FTX platform at a 1:1 ratio.”
Sun’s strategy is to attract and respect Tron-based assets such as BTT and SUN, as well as Huobi’s native HT tokens derived from FTX. The move enables large traders to liquidate some of their Tron holdings while also improving sentiment in the Tron ecosystem.
The atmosphere quickly improved. TRX and related assets trading resumed on FTX during Asian hours on Thursday, pushing prices above $2.5. Prices had fallen to 30 cents as of writing time, hours following Sun’s tweet, although they still trade at a 400% premium to other exchanges.
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