Stablecoin TrueUSD (TUSD) Depegs Amidst Recent Developments

• The current price of TUSD, after an unsuccessful repeg attempt, is $0.996.
• The biggest individual selloff order in TUSD was $3 million.

In the wake of Binance’s former CEO Changpeng Zhao’s (CZ) resignation and reports stating that terrorists choose Justin Sun’s Tron over Bitcoin for enabling terror funding, among other things, the TrueUSD (TUSD) stablecoin depegged and fell to a low of $0.995. The current price of TUSD, after an unsuccessful repeg attempt, is $0.996.

Justin Sun responded on Twitter to set the record straight, saying that Tron is decentralized much like ETH and BTC. The Tron team is dedicated to fighting the funding of terrorists, he said. The announcement sparked significant liquidations of TUSD since it is associated with Justin Sun, the founder of Tron.

Security Concerns Raised

After CZ stepped down as CEO of Binance, traders began selling their TrueUSD (TUSD) holdings, causing a depeg of the stablecoin. According to Kaiko analyst Riyad Carey, the TUSD stablecoin peg seemed precarious as a result of a significant selloff in market orders. The biggest individual selloff order in TUSD was $3 million.

Moreover, not long after serious security concerns were voiced over TUSD, this depegging took place. A token called TEURO was deployed from the same address as TUSD, and the minter was compelled to disclaim it in mid-October. This suggests that the private keys linked with TUSD may have been hacked.

Interestingly, monies associated with the TEURO fraudulent token were also connected to the launch of the TCNY bogus token, which is unrelated to TrueUSD. Despite many tries, the stablecoin has not repegged and is now trading at $0.996 as per data from CoinMarketCap.

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