Bitcoin Price Dip Triggers $213 Million TUSD Generation: Binance at the Center of Speculation
Bitcoin's price dip triggers the generation of $213 million worth of TrueUSD (TUSD) stablecoin. Speculations arise around Binance's involvement in response to the market downturn and the purpose of the injection.
Posted 2 months ago in Blockchain
The crypto market, which had recently been relatively stable, experienced a sudden disruption today as Bitcoin's price dipped by 2% from its opening value. This downward shift had a ripple effect, causing altcoins like XRP to lose 3.37% in value, while Ethereum (ETH) experienced a modest 2.2% decline.
Such fluctuations are not uncommon in the crypto space, known for its inherent volatility. However, an intriguing incident unfolded that left the community intrigued.
Approximately an hour ago, an astonishing $213 million worth of TrueUSD (TUSD) stablecoin was minted within a matter of minutes. This event raised questions about the involvement of Binance, the world's largest crypto exchange. With recent issues surrounding its native stablecoin, BUSD, Binance has shown a preference for TUSD, effectively becoming a kind of prominent issuer of this stablecoin.
The massive TUSD generation has prompted speculation about Binance's role in responding to the market's sudden downturn. Was this a strategic move to address the unexpected collapse, or was it driven by the need for additional TUSD liquidity to meet surging demand for trading pairs?
Some experts suggest it could be allocated for market-making and manipulation purposes or to infuse liquidity into the market during periods of instability.
Stablecoins, as highlighted by Binance's CEO Changpeng Zhao, play a crucial role on the crypto market, being its "fuel." Nonetheless, the exact purpose and destination of this "fuel" injection remain uncertain.
Last updated 9/21/2023, 10:14:16 AM
Related Articles
Coinbase Obtains Major Payment Institution License to Expand Operations in Singapore
Posted 2 months ago in Blockchain
Former FTX Customers and Investors to Testify Against Sam Bankman-Fried at Trial
Posted 2 months ago in Blockchain
Former FTX Customers and Allies to Testify Against Founder in Trial
Posted 2 months ago in Blockchain
News Letter
Subscribe to the CryptoCat.ai newsletter to stay updated with the latest cryptocurrency news, insightful articles, market trends, and more – delivered directly to your inbox!
Is email too old school? Well you can get your news directly on twitter just by following us
Follow Us