TUSD Value Plummets on Binance.US, Market Reacts

• TrueUSD (TUSD) recently saw a significant drop in its value compared to tether (USDT) on Binance.US
• TUSD has been under pressure due to low trading volumes and the reserve report revealed that the project had $26,000 in assets backing it at a US depository institution that was recently ordered to halt withdrawals
• This has sparked social media concerns about the cryptocurrency industry’s lack of checks and balances

TrueUSD Value Drops Against Tether on Binance.US

TrueUSD (TUSD), a stablecoin pegged to the US dollar, has seen a significant drop in its value compared to tether (USDT) on Binance.US, the American branch of the global cryptocurrency exchange, Binance. As of the latest data, the TUSD/USDT pair was trading at $0.89 on Binance.US after hitting a low of $0.80. In contrast, the pair traded at approximately $0.9980 on the global Binance platform.

Stablecoins & Market Influences

Stablecoins, which have become increasingly popular as funding currencies over the last three years, often influence the broader cryptocurrency market due to their volatility. However, fluctuations in TUSD’s value have not yet affected other markets, including bitcoin , which continues to trade above $30K with a market capitalization of $3 billion for TUSD and $83 billion for USDT .

Low Trading Volumes & Reserve Report

As noted by anonymous market analyst Parrot Capital, TUSD has been under pressure due to low trading volumes and its reserve report revealed that there were only $26K worth of assets backing it at an institution which recently halted withdrawals . This revelation has caused people to raise concerns about how secure cryptocurrencies are without proper checks and balances in place .

FTX Scandal Relevance

Adam Cochran from Cinneamhain Ventures voiced his worries through Twitter regarding past scandals involving FTX auditor Armanino , who attested TrueUSD’s reserve report . He also pointed out that TrueUSD’s Chainlink price oracle consists of 17 different notes all pulling data from The Network Firm , further increasing doubt about whether or not crypto is really secure enough for widespread use .

Conclusion

The recent depreciation of TUSD against USDT on Binance.US has caused people to worry about how secure cryptocurrencies are without proper checks and balances in place . People have pointed out that The Network Firm provided an audit for True USD’s reserve report while having been involved with previous FTX scandals , raising doubts about whether or not crypto is safe enough for widespread use