The market cap of TrueUSD (TUSD) has increased to $3.4B, surpassing that of Binance USD (BNB)
After Binance’s move to deprecate support for BUSD, TrueUSD (TUSD) has gained a market valuation of $3.4 billion, putting it ahead of Binance USD.
This historic moment follows Binance’s decision to stop supporting BUSD, a move motivated by pressure from US regulators.
After token issuer Paxos ceased minting new BUSD tokens, cryptocurrency trading platform Binance, which handles the vast majority of global cryptocurrency transaction activity, dropped support for the token. Binance had to reevaluate its portfolio strategy when Paxos halted manufacturing due to pressure from US regulators.
Etherscan data from September 3, 2023, shows that the market value of BUSD dropped precipitously after this statement, reaching just around $3 billion.
TUSD increased in value despite being seen as a weaker competitor to BUSD. TUSD supply increased from 2.9 billion to 3.438 billion over three days, an increase of 18.55%.
Two projects, Sei and CyberConnect, were recently released by Binance on its Launchpool platform. Users may stake TUSD there to generate additional coins. By adding the CYBER/TUSD and SEI/TUSD trading pairs, the cryptocurrency exchange has effectively integrated TUSD into its infrastructure.
More than 170 nations may now use TUSD because of the crypto payment gateway Alchemy Pay. Even as Binance moves away from its own stablecoin, BUSD, these moves show how tightly linked TUSD has grown with the exchange.
When it comes to Tether (USDT), data analytics company Nansen reports that Binance controls over $17 billion. This amounts to over 5% of the total TUSD supply. These investments demonstrate Binance’s strategic agility in the face of increasing regulatory oversight and intense market rivalry.
To increase its market share, TUSD has also concentrated on improving the quality of its user experience. The goal of the new domain and website makeover is to provide a more streamlined experience for visitors.
The rise of TUSD inside the stablecoin ecosystem is indicative of the dynamic nature of a market shaped by regulatory realities and strategic business choices.
TUSD capitalized on favorable market conditions to increase its market share. The volatility of cryptocurrency markets, where holdings may change rapidly in a matter of days, is highlighted by its ascent.
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