TrueUSD shocks market by temporarily halting TUSD token minting via Prime Trust

In a surprising move, TrueUSD (TUSD), the major issuer of the popular stablecoin, has temporarily suspended the minting of TUSD tokens through its long-standing partner, Prime Trust. The decision, effective immediately, has left market participants speculating about the reasons behind this unexpected development.

Timeline of Trueusd

TrueUSD (TUSD), the fifth-largest cryptocurrency by market capitalization, briefly lost its peg earlier today. Peckshield Alert shared a TUSD chart that showed the moment TUSD deviated from its dollar parity and printed a long red candlewick.

The world's largest crypto exchange Binance witnessed massive liquidation on Saturday after the US Securities and Exchange Commission (SEC) brought 13 charges against the exchange and CEO Changpeng “CZ” Zhao earlier this week. However, troubles for Binance continue to rise as TrueUSD (TUSD) minting via crypto custodian Prime Trust is paused.

The ARB/TUSD trading pair on Binance experienced a sudden drop to 0.35 TUSD, highlighting insufficient short-term trading depth. The trading volume of ARBs reached an impressive 724,000 units.

TUSD, also known as TrueUSD, is a stablecoin that has been garnering traction as a reliable alternative to fiat currencies on the cryptocurrency market. TUSD is pegged to the US dollar, which makes it less volatile and more stable than traditional cryptocurrencies like Bitcoin and Ethereum.

TrueUSD (TUSD)'s, a recently launched stablecoin, market capitalization is surging, rising by 120% in just four months from January 2023. The increase can be attributed to Binance's backing, which propelled it as the fifth-largest stablecoin behind USDT and USDC.

Four stablecoins have reduced their supplies this month, while the stablecoin token TrueUSD (TUSD) has seen its supply jump 110% higher over the last 30 days. TUSD resides natively on four different blockchains. The number of Ethereum-based TUSD rose 27%, while the number of Tron-based TUSD stablecoins increased by 218%.

Binance listing a large number of cryptocurrencies with TrueUSD (TUSD) trading pairs and extending support to the stablecoin reportedly related to Tron founder Justin Sun raises questions. Binance on Tuesday said it is adding more TUSD trading pairs amid efforts to replace Binance USD (BUSD).

Binance, one of the world's largest cryptocurrency exchanges, has announced that it has minted $50 million worth of TrueUSD, a stablecoin pegged to the US dollar. This decision comes after the New York State Department of Financial Services (NYDFS) halted the issuance of another stablecoin, BUSD, by Paxos, amid regulatory scrutiny.

San Francisco, United States, 15th December, 2022, Chainwire We are thrilled to announce that the TrueUSD team is launching a new product called TCNH, which is a stablecoin pegged to Offshore Chinese Yuan (CNH) at 1:1.

Stablecoins have maintained a strong growth momentum against the occasionally frustrating crypto market. Recently, the TUSD-TRX pool on the decentralized trading platform SunSwap has yielded up to 12%, and the vault of TUSD achieved an APY of as high as 11.2% on the decentralized yield optimizer Beefy Finance (BNB).