TRON-based tokens like JUST [JST], BitTorrent [BTT], and the Sun Token [SUN] have reached skyrocketed prices trading at 1200% in excess of their market value due to an agreement signed on Nov 10 with crisis-ridden FTX.
As a result, users who hold these assets have started bidding up the prices to recover their locked funds at FTX. Market experts believe that this overinflation will cause further realized losses for its investors if they sell it on other exchanges.
A realized loss is when assets are sold for less than they were originally purchased for.
Data from coinmarketcap showed that TRX is changing hands at $0.05, at the time of writing this post, while on FTX, it is trading at $0.28, almost 500% more.
On the exchange, BitTorrent [BTT], JUST [JST], and the Sun Token [SUN] are all selling at premiums that range from 500% to 1,196% over the market price.
A day after a proposed acquisition with FTX’s bigger rival Binance collapsed on the grounds of failing due diligence, the embattled firm found a helping hand from TRON’s Justin Sun.
The deal was to establish a special facility to permit holders of TRX, BTT, JST, SUN, and HT to swap assets from FTX 1:1 to external wallets.
TRON’s Agreement Amidst USDD De-Pegging
“We hope this is just step one: beginning to find ways to bring liquidity to users,” SBF said on Twitter. “That is the core thing that I am fighting for right now, and will continue to fight for in whatever ways I can.”
Tron had its own issues when the network’s algorithmic stablecoin USD [USDD] dropped below its peg and as low as 97 cents across several cryptocurrency exchanges in the late hours of 9 Nov., TronWeekly reported.
Recently, USDD was trading for 98 cents. Tether [USDT], a rival stablecoin, too temporarily lost its peg and fell to 97 cents, although it has since recovered.
However, a Tron spokesperson downplayed the news saying they don’t consider the recent decline a depeg, as TRON DAO has established the permissible degree of volatility in the price of USDD to 3% under exceptionally unpredictable market conditions.