Terra inspires Tron to pursue US$10B in crypto-backed stablecoin

Posted on

TRON founder Justin Sun announced on Thursday a new decentralized dollar-pegged algorithmic stablecoin on the Tron blockchain called USDD.

See related article: What are stablecoins, and why are some governments so afraid of them?

Fast facts

  • The TRON Decentralized Autonomous Organization (DAO) intends to raise US$10 billion within the next year to fund a crypto reserve to secure USDD stability in financial crises.
  • As a decentralized algorithmic stablecoin, USDD’s peg will be influenced by the TRX supply, the native currency of the Tron network.
  • The TRX price surged over 15% directly following the news, reaching its highest point in almost three weeks to trade at US$0.07183 at press time.
  • Around 41.8 billion USDT — the world’s largest stablecoin — currently circulates in the Tron blockchain, roughly 2 billion more than Ethereum.
  • TRON’s move to collateralize an algorithmic stablecoin with crypto reflects Terra and Do Kwon’s ongoing progress to back the UST stablecoin with US$10 billion in Bitcoin.

See related article: Is Terra — whose LUNA coin is now at another all-time high — really where the smart money is?

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *