This is a total of $ 20 million, as confirmed in stride Justin Sole, the founder himself. According to the team, the goal of this new investment is to ensure the safeguarding of the entire blockchain sector and the cryptocurrency market.
According to the TRON website, the DAO holds $ 2.2 billion of collateral in various tokens including TRX, BTC, and the USDT and USDC stablecoins. At the same time, the total supply of USDD is estimated at over $ 723 million, making the stablecoin overcollateralized by 316.2%. Recall that TRON DAO has increased overcollateralization since the collapse of the stablecoin Luna, in order to avoid a similar scenario.
The UST Nightmare Earth scenario
In April, the UST stablecoin developed by Terra collapsed and lost parity with the dollar. However, the TRON stablecoin is based on exactly the same principle as the FSO, which has raised concerns among the teams. To reassure investors, TRON DAO announced the addition of $ 650 million in USDC to reserves in mid-June. With these new 20 million dollars it is therefore a question of continuing the trend.
According to data from CoinGecko, TRX is trading at around $ 0.06 at dawn on July 11, a drop of more than 50% when comparing this price to the high of $ 0.16 dating back to 2021. , the token is expected to remain in a downtrend, but DigitalCoinPrice expects a maximum price to be $ 0.0888 in 2022.