Justin Sun, the founder of the TRON ecosystem, has announced the creation of a $1 billion fund to fight FUD (Fear, Uncertainty, and Doubt) in the cryptocurrency industry. This is in response to recent market volatility. Sun announced the news on August 5 in a post on X (formerly Twitter), where he reassured his fans that the industry would be strong even though the market was changing at the time.
“The industry has grown significantly over the past year, and this market fluctuation isn’t due to negative news,” He said this to calm people down after the market lost a lot of money.
Sun’s Significant Ethereum Loss
The news comes after a tip by the X account Spot on Chain, which said that Sun had lost about $280 million because the price of Ethereum recently dropped 20%.
Sun is said to have bought over 377,500 ETH worth about $1.15 billion in three wallets since February. According to the story, Sun’s holdings have lost a lot of value since the price of Ethereum is now trading well below his average purchase price of $3,051.
While the market was down, reports went around that Sun had been shut down. But the founder of TRON quickly denied these claims, saying that his employees “rarely engage in leveraged trading strategies because we believe such trades do not significantly benefit the industry.”
“Instead, we prefer to engage in activities that provide greater support to the industry and entrepreneurs, such as staking, running nodes, working on projects, and helping project teams provide liquidity.”
Justin Sun
Sun’s announcements have been getting a lot of attention lately. Starting in early July, when the German government started selling off thousands of Bitcoin (BTC) that had been seized, Sun said in public that he was “willingness” to negotiate a direct purchase to lessen the effect on the market.Sun said that Bitcoin would never drop below $55,000, but it did. It’s still not clear if he told the German government about this.
The fact that Sun has now promised to put $1 billion into a fund shows that he is still determined to help the cryptocurrency market grow and become more stable, even though it is still very unstable.
