TronDAO to Initiate a 3 Billion Withdrawal to Guard TRX’s Value

TronDAO has declared that it will remove 3 billion TRX from a CeFi and DeFi lending platform. It did not disclose the systems through which these withdrawals will be made. The foundation described the decision as an effort “to defend the overall blockchain sector and crypto market” in a tweet announcing the upcoming withdrawals. It previously made a similar statement alongside an announcement to make withdrawals from Binance. To safeguard the overall blockchain industry and crypto market, TRON DAO Reserve will withdraw another 3 billion #TRX out of Cefi exchange and Defi lending platform. — TRON DAO Reserve (@trondaoreserve) June 16, 2022 Guarding Against The Crypto Winter The impending withdrawal follows a continued streak of TRX withdrawals by the DAO. Upon completion, it would take the whole leaves to 5 billion TRX in just two days. On Wednesday, the foundation announced it withdrew 2 billion TRX from Binance. Analysts tagged the withdrawals a calculated move to prevent a similar occurrence of Terra’s UST collapse in May. The leaves will shrink liquidity for short traders and avoid a sharp decline in TRX’s value. Along with the withdrawals, Justin Sun, Tron’s founder, has been attempting to calm fears of the community collapsing. However, USDD and TRX continue to underperform as the crypto winter drags on. USD is Still Depreciated Tron’s algorithmic stablecoin USDD has yet to achieve parity with the US dollar for the fourth...