The unlikely claims that a wallet selling huge quantities of TRX belonged to Justin Sun, the founder of Tron, caused panic in the Tron community. The recently discovered Ethereum wallet has sold over 6 billion Tron TRX coins to different exchanges in the past 20 days. These coins, which total 10% of the circulating supply, are worth $1.2 billion at the current TRX price of approx. 0.2USD. Tron investors were worried that Justin may have been cashing out early, potentially indicating that the Tron project is a scam. This is not that case though, as Justin has confirmed on Twitter. The account actually belongs to a Tron private investor/market maker. The people that are still repeating these rumours are likely just trying to spread fear, uncertainty, and doubt so that they can exploit inexperienced investors and load up on cheap Tron coins prior to upcoming partnership announcements.
Why do people think it’s Justin Sun?
The people claiming that this wallet belongs to Justin Sun are using two pieces of information to link it to him:
1. The owner has sold over 6 billion TRX
Justin has confirmed that the owner of the account had a large amount of TRX because they are actually a private Tron investor that assists in maintaining market liquidity. They were able to acquire a large amount of TRX during Tron’s private offering period, where they invited large investors to purchase up to 15% (15 billion) of all Tron coins. Additionally, the investor did not necessarily purchase 6 billion TRX directly from Tron, or have 6 billion TRX in their wallet at any one time. By examining the wallet, it can be seen that while the owner does sell TRX to exchanges, they are also constantly buying it. This makes sense, as constantly buying and selling TRX would make it always available on exchanges, therefore increasing the liquidity.
2. The wallet is linked to an account on CryptoKitties called “justinpets”
“justinpets”, the name of the CryptoKitties account associated with the wallet, was confirmed by Justin Sun to be merely an unfortunate coincidence. The private investor just so happens to have the same name as the Tron founder and used it when registering a CryptoKitties account.
Finally, to see for yourself that none of the Tron developers have cashed out, the wallet which holds their TRX is publically viewable. This wallet contains 35% of all TRX (35 billion), the amount which Tron said they would set aside in their whitepaper. By looking at this wallet, you can see that none of the coins have been moved since they arrived. In fact, the Tron Foundation couldn’t access these funds even if they did want to cash out, as Justin Sun has publicly stated that these coins are locked until 2020. So you can guarantee that everyone working at Tron will be trying their best to improve the project in the meantime!
You can rest easy knowing that your Tron investment isn’t going to become worthless overnight. The people working on the Tron project are dedicated to making it the best they can so that their TRX is worth something in two years when they can sell it. This actually means that now is the best time to invest in Tron; it has at least two years of solid growth ahead of it and it’s only going to get more valuable. If you don’t have any Tron TRX yet, follow this guide to get started!
Hey that’s really cool that they have a bunch of Tron locked off, I didn’t realise that. Means if I go down, they’ll go down way worse so they’re gonna make sure that doesn’t happen. Committed.
thank you to make it clear, always believe!
Obviously that was fud, thank you for clarification!
My opinion as an investor not a coin lover, I will say there is a time to enter and exit the market. I will take my profits and move on.
Thanks for the info
I did nothing wrong.
Thanks for the update 🙂 nice article.
so if we look back a CEO at JP Morgan essentially did the same thing in September causing the price if bitcoin to drop dow n to $4k.. The smart people made money there and we will make money again… I will hold my Stake and if it dropped lower lets hope back to 7 cents Im down to make another 100k in a few days …
trx has real potential….
Thanks for the clarification. That Charlie Lee… attempting to deflect his dirty deeds onto TRON, due to the fact he sold every single share once his coin hit $325.00. And then coming out to the world with this lame excuse. (“I sold all my coins because I did not want there to be a conflict of interest”)! Yeah right! It’s called making Billions off the backs of millions of everyday investors wanting to make a few bucks.
Well, I bought over 200k when Tron was extremely low in price. I could cash out, however I like what Tron is attempting to do, not to mention Justin seems to be a genuine upfront person trying to change the world.
Hey man I really hope that Tron recovers. Bought a lot of TRX about a week ago… and now I lost a large percentage of my investment. Hope Justin Sun (the real one 😉 can do something soon to recover some lost market sentiment and belief.
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People really think he is so dumb? look at robinhood look at iqoption (supporting tron) look at etoro, they even make their own blockchain! they will save everything! and when the nodes are in space! WOOOM! :)))