Recently, news regarding TRON founder Justin Sun holding a large amount of TRX has attracted market attention. It is said that his open interest may reach as high as 60 billion coins. However, this number should not cause excessive concern for investors.



From a market perspective, even if a large amount of TRX is sold off, it is unlikely to cause the price to fall below $0.25. In fact, Sun Yuchen has been managing his TRX holdings in various ways, including collateralizing TRX to generate USDD stablecoins and financing the purchase of TRX through listings on US stock exchanges.

The core objective of these strategies is to maintain the stability of TRX prices. If Sun Yuchen chooses to sell on a large scale, it would not only lead to a collapse in TRX prices but could also jeopardize the stability of the entire Tron ecosystem, including the stability of the USDD stablecoin. Therefore, maintaining the stability of TRX prices is crucial for maximizing profits.

This also explains why the price of TRX remains relatively strong despite the overall decline in the cryptocurrency market. Currently, the Tron network excels in transfer protocol revenue, becoming one of the most profitable blockchains.

Considering that the financing obtained by Sun Yuchen through the US stock market has not yet been fully utilized, the possibility of a significant decline in TRX prices in the short term is relatively low. In the next year or two, investors can maintain a relatively optimistic attitude towards the stability of TRX.

However, in the long term, investors still need to closely follow the development and potential risks of the Tron ecosystem. The blockchain industry is rapidly changing, and shifts in market sentiment and regulatory environment can significantly impact the price of TRX.
TRX-1.36%
USDD-0.07%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • 7
  • Repost
  • Share
Comment
0/400
TheKiNGvip
· 56m ago
1000x Vibes 🤑
Reply0
TheKiNGvip
· 56m ago
1000x Vibes 🤑
Reply0
TheKiNGvip
· 56m ago
1000x Vibes 🤑
Reply0
AirdropHunterXMvip
· 16h ago
Xiao Sun still has some skills.
View OriginalReply0
LightningClickervip
· 17h ago
Brother Sun is very steady.
View OriginalReply0
ConsensusDissentervip
· 17h ago
The more the Lock-up Position, the bigger the explosion.
View OriginalReply0
GasFeeDodgervip
· 17h ago
Brother Sun has stabilized this wave.
View OriginalReply0
Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate app
Community
English
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)