Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
Crypto Flexs
Home»ADOPTION NEWS»TrueUSD depeg linked to Binance Launchpool activity
ADOPTION NEWS

TrueUSD depeg linked to Binance Launchpool activity

By Crypto FlexsJanuary 19, 20243 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
TrueUSD depeg linked to Binance Launchpool activity
Share
Facebook Twitter LinkedIn Pinterest Email

January 18, 2024 TrueUSD (TUSD) blames Binance lunch pool mining activities Depegging In ~ X. It says,

Regular attestations are part of standard operations, and any claim otherwise is incorrect. We have recently observed community mining activity around Binance Launchpool, creating short-term arbitrage opportunities.

Recently, the peg of TrueUSD (TUSD) has received a lot of attention in the cryptocurrency community. This event was closely tied to the activity on the Binance Launchpool and saw the value of TUSD fall below the $1 peg to $0.97.

On January 15, 2024, a significant sell-off of TUSD was observed on the cryptocurrency exchange Binance, which led to a noticeable decline in the value of the US dollar. In 24 hours, traders sold $339.2 million worth of TUSD, resulting in a net outflow of $42.3 million from exchanges, compared to $296.8 million in buy orders​​.

The situation worsened when TrueUSD experienced real-time proof of reserves issues around January 10th, raising concerns that the stablecoin may be undercollateralized. These technical difficulties API, which prevented the provision of accurate U.S. dollar values ​​for collateral assets. Additionally, on cryptocurrency exchange Poloniex, TUSD has been trading around 8% below the peg for several weeks, while on Binance it has remained relatively stable at around $0.99.

To address the depegging issue, the TrueUSD team linked the incident to activity related to the Binance Launchpool. They observed recent community mining activity leading to short-term arbitrage opportunities. Despite the concerns, TrueUSD reassured users about the normality of these market dynamics and liquidity adjustments. They emphasized the smooth operation of redemption channels and the continued functioning of TUSD issuance and redemption services.​​​.

This depegging incident raises broader questions about the stability and transparency of stablecoins in the cryptocurrency market. In June 2023, TrueUSD temporarily suspended auto-verification due to balance discrepancies. The stablecoin issuer later announced an upgrade to its fiat reserve audit and certification system in partnership with accounting firm MooreHK. TrueUSD said total assets held in reserve accounts reached $1.93 billion.

The recent decline in the value of TUSD coincided with the introduction of rival stablecoin FDUSD into Binance’s staking program. Market analysts speculate that a significant number of investors sold TUSD for FDUSD to participate in Binance’s rewards program, potentially contributing to the unpeg of TUSD.

TrueUSD’s peg highlights the vulnerability of stablecoins in volatile market conditions and the need for a robust mechanism to maintain the peg to the underlying asset. This also highlights the importance of transparency and trust in the management of stablecoin holdings, which are critical to maintaining investor confidence and the overall stability of cryptocurrency markets.

Image source: Shutterstock

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

HOLONYM’s Human Network: Convert on boarding on boarding on human -friendly keys

June 7, 2025

NVIDIA’s GB200 NVL72 and Dynamo improve MoE model performance

June 7, 2025

TEZOS promotes scaling efforts by activating data soluble layers.

June 7, 2025
Add A Comment

Comments are closed.

Recent Posts

HOLONYM’s Human Network: Convert on boarding on boarding on human -friendly keys

June 7, 2025

The SEC gets $ 1.1m case when Crypto Schemer crosses the court.

June 7, 2025

NFT artists reproduce ‘password tax nightmares’ with new songs.

June 7, 2025

NVIDIA’s GB200 NVL72 and Dynamo improve MoE model performance

June 7, 2025

Despite market volatility

June 7, 2025

TEZOS promotes scaling efforts by activating data soluble layers.

June 7, 2025

It shows a graphite network. Tesla is nothing without trust because Tesla’s Tesla spent $ 150 billion after Musk and Trump’s fallout.

June 7, 2025

The merchant warns that Bitcoin is in ‘cancer price behavior’.

June 7, 2025

Is Bitcoin Price Rally $ 150K by the end of the year?

June 7, 2025

How does it affect Bitcoin?

June 7, 2025

Gala Games introduces a step -by -step approach to founder node staking.

June 7, 2025

Crypto Flexs is a Professional Cryptocurrency News Platform. Here we will provide you only interesting content, which you will like very much. We’re dedicated to providing you the best of Cryptocurrency. We hope you enjoy our Cryptocurrency News as much as we enjoy offering them to you.

Contact Us : Partner(@)Cryptoflexs.com

Top Insights

HOLONYM’s Human Network: Convert on boarding on boarding on human -friendly keys

June 7, 2025

The SEC gets $ 1.1m case when Crypto Schemer crosses the court.

June 7, 2025

NFT artists reproduce ‘password tax nightmares’ with new songs.

June 7, 2025
Most Popular

Could a financial crisis end crypto’s bull run?

July 3, 2024

Avraham ‘Avi’ Eisenberg was found guilty in connection with the $110 million Mango Markets exploit.

April 18, 2024

Script – ScriptSigSize fdf501 – Bitcoin Stack Exchange

April 17, 2024
  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms and Conditions
© 2025 Crypto Flexs

Type above and press Enter to search. Press Esc to cancel.