Tron Founder Allocates $1 Billion to Support Crypto Industry Amid Market Turmoil

After a dramatic $1 billion liquidation wave among leveraged crypto traders in the past 24 hours, Justin Sun, the founder of Tron (TRX), has unveiled a major relief initiative.

Sun announced on X that he has allocated $1 billion to support the growth and advancement of the cryptocurrency and Web3 sectors.

This announcement comes amid a broader market decline, with Ethereum experiencing severe sell-offs totaling over $353 million. Rumors circulated that Sun himself was forced to liquidate, but he clarified these claims, emphasizing his preference for staking, node operations, and providing liquidity over leveraged trading.

Despite this, Sun’s crypto holdings have faced significant unrealized losses of nearly $300 million. Since February 8, 2024, he has accumulated approximately 377,590 ETH, valued around $1.15 billion, across three wallets.

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Crypto Market Slump Has Left Traders With Millions of Dollars in Losses

As the market undergoes a final correction before a potential major rally, expected later this year or early next, institutional interest in cryptocurrencies, including spot Ethereum and Bitcoin ETFs, continues to grow.

El Salvador’s President Nayib Bukele has also suggested that an impending Federal Reserve interest rate cut could boost Bitcoin’s recovery.

Alexander Stefanov