Justin Sun, the billionaire founder of the Tron blockchain, said late on Nov. 9 that he is working on a solution with FTX, the crypto exchange engulfed in a liquidity crisis.
In a tweet, Sun said, “Further to my announcement to stand behind all Tron token (#TRX, #BTT, #JST, #SUN, #HT) holders on FTX, we are putting together a solution together with #FTX to initiate a pathway forward.”
FTX’s CEO Sam Bankman-Fried retweeted the post — his first action on Twitter since he announced that Binance had agreed to acquire the embattled exchange. That proposal fell apart earlier today, with Binance stating that FTX’s issues are beyond its control.
Sun did not provide further details about the solution he is working on. In an earlier tweet, on Nov. 9, Sun said he would protect Tron users with funds stuck on FTX. In a separate blog post on Huobi's website, Huobi and Tron DAO said they would “permanently support users who wish to redeem their Tron tokens (TRX, BTT, JST, SUN, HT) deposited on the FTX platform at a 1:1 ratio.”
In subsequent tweets today, Sun said that the “ongoing liquidity crunch, despite short term in nature, is harmful to the industry development and investors alike,” adding that his team has been working hard to avoid “further deterioration.”
The Tron founder was recently rumored to have quietly masterminded the acquisition of crypto exchange Huobi by About Capital Management’s M&A fund, but he denied those reports, claiming he is “only an advisor” to the company.
This story has been updated to add additional context about Sun offering support to holders of Tron-related tokens.
Disclaimer: The former CEO and majority shareholder of The Block has disclosed a series of loans from former FTX and Alameda founder Sam Bankman-Fried.
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