Tron (TRX) Reassembles by 10% After Network Celebrates 90 Million Disclosed Accounts
As the Tron network is getting ready for the release of its algorithmic stablecoin, the network is attracting more users, with the number of accounts on Tron hitting 90 million. The market has already reacted with a strong 10% price increase.
The announcement of the algorithmic stablecoin was made recently by Justin Sun, which fueled a short-term rally in the market. The release of a stable solution on Tron was a long-awaited event as networks like Ethereum, Solana, and others offer their algorithmic options.
Read Also: Cardano Multi-Billion Dollar Whales’ Holdings Signal Strong Fundamentals — What’s Next For ADA?
The new solution on Tron will differ from UST or USDT, as it will use a more decentralized mechanism at its core. Algorithmic stablecoins are backed by digital currencies themselves in contrast to coins like Tether that use fiat assets, currencies, and other instruments to balance the price of the coin.
Tron (TRX) price performance
According to the daily chart of the coin, Tron has been moving in the rangebound since the massive pump in March, which resulted in almost a 30% pump amid the announcement of a network-powered stablecoin.
Before the last launch of a stablecoin, the market is staking TRX to use the future stable solution, as TRX’s price spiked by 10% today and on April 21. Besides using TRX for transactions, USDD will most likely mimic Terra’s UST mechanism, which requires the burning of the underlying token to issue more stablecoins.
Read Also: 2 Trillion Shiba Inu Whales Grab $9 Million in APE: Report
The constant burning events usually lead to an increase in the valuation of an asset, as the offering on the market is constantly decreasing. But while the price of TRX should rise with more coins being burned, this may not be true as Ethereum does not seem to benefit from the constant burns.
Cryptolifedigital is a cryptocurrency blogger and analyst known for providing insightful analysis and commentary on the ever-changing digital currency landscape. With a keen eye for market trends and a deep understanding of blockchain technology, Cryptolifedigital helps readers navigate the complexities of the crypto world, making informed investment decisions. Whether you’re a seasoned investor or just starting out, Cryptolifedigital’s analysis offers valuable insights into the world of cryptocurrency.
