• The TRU token of decentralized lending protocol TrueFi rallied over 200% after Binance’s TUSD mint sparked speculation among traders.
• The speculation appears to be misplaced since the issuers of TrueUSD and TRU tokens were separated a while ago and TrustToken was renamed Archblock last year.
• Despite the rally paring some gains, TRU was trading at around 11 cents at press time.
TRU Token Rallies Over 200%
The TRU token of decentralized lending protocol TrueFi rallied over 200% on Thursday in an hour due to speculative flurry over a Binance stablecoin transaction.
Binance’s TUSD Mint Sparks Speculation
Before the rally took off, Binance, the world’s largest crypto exchange by volume, minted $50 million of TrueUSD (TUSD) stablecoin, according to blockchain data. This event sparked speculation among crypto traders about TUSD potentially gaining a larger role in trading on Binance after the regulatory crackdown on the Paxos-issued Binance USD (BUSD).
Separate Issuers of TUSD and TRU Tokens
However, it appears that the speculation about the TRU token is misplaced because TrustToken sold TUSD in 2020 to a firm called Techteryx and separated from TrueFi protocol last year. As such, they are separate entities now.
TRU Price Movement
TRU surged as high as 14.6 cents from 4.4 cents on Binance before later paring some of the gains. The token was trading at around 11 cents at press time.
Paxos Halting BUSD Emission
Earlier this week, Paxos said it would halt minting BUSD on orders from New York regulators until further notice which set stage for possible reshuffling in the stablecoin market.