Binance, one of the largest cryptocurrency exchanges in the world, announced that it is suspending its free trading program with BTC, excluding the BTC/TUSD trading pair. This move caused the TRU price to rise almost 30 percent in just one hour, then crash. Here are the details…
Binance announcement affects TRU coin
The cryptocurrency exchange has stopped the free BTC campaign, except for BTC/TUSD pairs. This resulted in an increase in TrueFi’s TRU token. However, Binance CEO CZ tweeted that TRU should not be associated with TUSD. This development caused the TRU price to drop rapidly. This decision by Binance is significant, as the exchange previously offered free trading for BTC with 13 spot pairs to celebrate its fifth anniversary. This move came under criticism as it increased trading volumes on the platform. However, Binance stated that starting March 23 at 03:00 CET, Bitcoin trading will be free for BTC/TUSD pair on the platform.
TRU should not be related to TUSD.
— CZ 🔶 Binance (@cz_binance) March 15, 2023
This move by Binance highlighted the exchange’s transition to stablecoin TUSD after it was cut off from BUSD due to legal issues with the US government. cryptocoin.com As we reported earlier, Binance has issued a large amount of TUSD stablecoin and introduced it to many trading pairs on the platform. The price of TRU, the governance token of TrueFi’s lending protocol, also increased significantly after this move, although in reality the project is not closely related to TUSD. Only a product that was previously covered by the TrueFi Protocol.
Sharp price movements were seen in an hour
As can be seen in the chart below, in just one hour after the stock market announcement, the price of TRU experienced a sharp increase. Currently, TRU is trading at around $0.11, which marks a 165 percent increase in value over the past 30 days. While Binance has since maintained its zero-fee trading policy, the sudden announcement of the suspension of free trading with BTC, except for the BTC/TUSD pair, has taken many in the crypto community by surprise. The decision had a significant impact on the price of TRU, causing many traders to wonder what other changes await Binance in the future.
TrueFi is a decentralized finance (DeFi) lending protocol created by the TrustToken team. Unlike platforms like Aave, Compound and Venus, which require borrowers to provide collateral, TrueFi offers unsecured loans at fixed interest rates. The ultimate goal of the project is to establish an automated, market-oriented lending system that can work beyond the limitations of traditional protocols. Achieving this seems to depend on increased user responsibility.
