The TRON Foundation has announced a buyback of TRON (TRX) tokens as a vote of confidence for the fledgling ecosystem–and also, a died-in-the-wool technique to regulate price fluctuations. According to the announcement, the buyback commemorates TRON’s Independence Day, aka the moment TRON broke free from Ethereum’s blockchain in 2018.
Per the announcement, the TRON Foundation will conduct the buyback in batches from secondary markets, with a minimum spending limit pegged at $20 million.
“At this point, the TRON Foundation has no specific plans for this unlocked amount of TRX. The Foundation will continue to increase our TRX holding in the secondary market to manifest our confidence in the development of the TRON ecosystem,” the announcement reads. Since TRON’s emancipation from Ethereum, it has clocked up some impressive milestones.
In April 2019. DApp analytics firm DApp.com published a report which revealed that TRON has become the fastest-growing DApp user base, with over 300,000 developers present on its blockchain. The TRON network has also built a respectable developer community, driven by the 8 million or so users accounts. But as we’ve reported previously, that growth may be fuelled by cash incentives. Let’s not forget the insane acquisition of BitTorrent, a deal which cost the Foundation around $140 million, providing the platform needed to develop Project Atlas, and the BitTorent Token (BIT), a cryptocurrency which is expected to run on the TRON protocol.
Tron has a history of bullish statements to excite the TRX bulls–some more accurate than others. This one, however, has set tongues wagging, with good reason. Per data from CoinMarketCap, TRX is trading at about 14 percent above last week’s close at press time, helping TRON break into the top 10 largest crypto assets by market cap.