The project has been nicknamed ‘DeLoan’, which stands for a decentralized borrowing platform.
The usage of cryptocurrencies to solve mainstream problems has been seen as the mark for digital assets adoption. Tron, the Justin Sun led cryptocurrency is known for its involvement in the application sector and recently they added another feather to its cap.
On January 20, the Tron Foundation announced that the TRX mortgage lending platform was finally available on Tron’s Nile Testnet. The announcement was intended to show the Tronics that developments were in full swing.
The lending platform will be available for public release only after its public test has been completed. The project has been nicknamed ‘DeLoan’, which stands for a decentralized borrowing platform. Tron announced that the lending platform will be using its own stablecoin tentatively called the CRD.
According to Tron, the lending platform will allow users to obtain dollar like stablecoins by mortgaging TRX. Generally, if a user needs to obtain stablecoins or any form of cryptocurrrency, they usually have to trade their TRX directly. DeLoan aims to put a stop to this by using tokens such as the CRD and DLN. The project was also mentioned in Tron’s latest Medium release, which stated:
“DeLoan is a decentralized TRX mortgage platform on TRON. Through this loan platform, users can lend stable currency CRD by mortgaged TRX assets.The role of CRD is similar to USDT, except that the generation method is decentralized. The price of CRD is also softly anchored to 1 USD, the same as USDT. In the future, CRD can also be used to purchase other currencies such as BTC and ETH.”
Sun claimed that with the addition of the DeLoan platform, users will be able to experience a more wholesome cryptocurrency ecosystem. The Foundation was confident that the new lending platform will increase the “richness” of Tron ecology. The organization has warned users that the current version, which is only supported for PC access, will be different from the ones in the future.
Tron has also given users the step by step guide to test the mortgage lending platform. DeLoan runs on the Nile Testnet with the full node at htttp://api.nileex.io. The current testnet product involved three parts: the CDP Portal, the Scan and the Vote parameter on the DeLoan ecological governance platform.
On the testnet website, users can enter the number of TRX to be mortgaged and the amount of CRDs to be generated. The Foundation stated that if the mortgage TRX price is less than 150 percent of the CRD price, the amount will be liquidated. Holders of the CRD tokens can use them to deposit, withdraw, pay back, or generate more of it.
This is the second update on the Tron Nile testnet in as many weeks. Justin Sun had earlier announced the launch of shielded transactions functions on Nile, after keeping it as a well guarded secret for some time. Shielded transaction functions were created to removed the details of all completed transactions automatically from the network. This was created to improve privacy within the entire Tron ecosystem.
TRON Price Analysis: TRX/USD consolidates below 0.020
- TRON is trading almost 5% lower in another poor session for cryptocurrencies.
- The chart has now moved into a downward structure and looks to be heading toward a support level.
TRX/USD 4-Hour Chart
TRON seems to be forming a classic downtrend at the moment.
On the higher timeframes it could look like a deep retracement.
On the 4-Hour chart below, the price has recently printed just below the previous wave low.
Now the next support could be 0.01818 and resistance is at the 0.020 level.
Grayscale continues to be a millennial favorite – Buffett proved wrong?
During his recent appearance at the charity dinner with TRON founder Justin Sun, Buffett said that he is sure his grandson “would rather inherit [his] wealth in U.S. dollars,” than Bitcoin. But while the Oracle of Omaha’s success speaks for himself, the Berkshire Hathaway CEO hasn’t always been right. Having passed on incredible opportunities in tech stocks like Uber and Google, Buffett had even criticized Elon Musk for his investment in Tesla.
In the United States alone, $68 trillion (with a ‘t’) is expected to be transferred from older to younger generations over the next 25 years and according to Grayscale Investments, millennials are far more interested in Bitcoin, than previously thought. In fact, some reports have suggested that GBTC ranks fifth on the list of assets that millennials invest in, higher than Disney, Netflix, Microsoft and interestingly, even Berkshire Hathaway.
In an investor call conducted earlier this month, Grayscale CEO and Founder Barry Silbert spoke about how millennials are the largest single generation in the U.S. and are just now entering their prime income years. This implies far more future investment into the crypto-space as younger generations don’t seem to be as averse to Bitcoin, as their older counterparts.
Grayscale’s latest report on digital assets may perhaps be a validation of the same as more and more millennials get involved with the crypto-space. According to Grayscale‘s report on the digital assets under their management, GBTC AUM has risen by around $800 million over the last month or so. Interestingly, while the value of Grayscale‘s Bitcoin Cash holdings also rose by around $1.3 million, its holdings in Ethereum rose by a whopping 160% over the same time frame.
This is an interesting development, one that is a reflection of Ethereum’s incredible performance in 2020. While the world’s largest altcoin has had a few bearish weeks recently, it has still outperformed most of the cryptocurrency market this year, including Bitcoin.
At this point, it’s clear that investment into the cryptocurrency asset class is on the rise. Millennials have shown that they are less risk-averse, and have a better understanding of Bitcoin, blockchain technology, and cryptocurrencies, in general. And as capital from younger generations increasingly enters the space, Buffett’s grandson might not want to inherit his wealth in U.S. dollars after all.
Tron News Today – Headlines for February 25
- Sun claims to have a diversified investment portfolio
- Tron calls on investors to buy his coin
- Sun failed to impress Warren Buffett during their lunch
Tron News Today – in a recent interview on CNN, Tron chief Justin Sun said he owns a diversified portfolio of investments in crypto and holds large amounts of BTC, XRP, and ETH. He was candid about Tron when he called it a shitcoin and this hurt investors as his coin has lost 20% since he made those remarks. Sun also gave his opinion about the future of the market. He is ultra-bullish on BTC and expects the coin’s price to reach $100,000 by 2025.
On the other hand, Sun called Tron Blockchain an alternative to iOS and Android operating systems. He said the Blockchain network offers better privacy to users. Let’s take a recap of his CNN interview.
Sun Calls Investors to ‘Buy His Shitcoin’
In a short video posted by crypto podcaster Peter McCormack via his Twitter handle, Sun is heard referring to Tron as a shitcoin. Note that the term shitcoin is a word used negatively in the crypto market. It is used as a name for non-performing cryptos. Thus, referring to Tron as a shitcoin doesn’t come as a good thing even though it was a publicity stunt. Sun has been promoting Tron heavily as a Blockchain network worthy of massive adoption. However, after Sun’s comments came earlier in the month, the price of TRX, Tron’s native coin has dropped daily after a good surge this year.
When this content was published, Tron price is down by 4.5% and is trading at $0.019 with a total market capitalization of $1.30 billion. On February 15, Tron’s price had doubled since 2020 began. However, over the past week, the price of TRX has now corrected by 20% and slipping below the $0.20 mark. At press time, Tron’s year-to-date returns are 40%.
Sun Fails to Impress Warren Buffett over His Dinner
Last month, Sun finally got the chance to have his lunch with investor Warren Buffett. He won the lunch date with Buffett in 2019. Before the lunch, Sun said Buffett has accepted his Tron and Bitcoin gift. It is no secret that Buffett has openly criticized cryptocurrencies. He even called BTC rat-poison-squared. In his interview with Beck Quick of CNBC, the legendary investor remained critical of the asset class saying:
“Cryptos have no value. This asset class doesn’t produce anything. They don’t reproduce nor do they deliver.”
Buffett thinks cryptos are a flawed asset class. He even compared the protocol to pyramid schemes. He, however, clarified that he does not own any Bitcoin or other cryptos.