Tron founder Justin Sun has raised eyebrows with his recent crypto moves, particularly in relation to the turmoil surrounding Curve Finance. Sun transferred a significant $35 million in cryptocurrency to Binance over the past week, with the funds distributed among 12 different tokens, primarily DeFi assets. This suggests Sun’s intention to provide liquidity to Curve Finance.
The data reveals that Sun’s latest deposit included $3.45 million worth of ETHFI, reportedly obtained through an airdrop. In addition, a transfer of $6.22 million worth of CRV occurred, of which $5 million came from an OTC deal last August, purchased directly from a wallet associated with Curve Finance founder Egorov at a discounted price of $0.4 per token. Sun also transferred $333,000 in other DeFi tokens.
These transfers follow Sun’s previous purchase of 5 million CRV tokens directly from Egorov’s wallet. The discounted price suggests that Sun may be attempting to prevent the liquidation of a loan tied to the Curve founder, as falling CRV prices triggered the automatic liquidation of loans tied to Egorov, resulting in a significant plunge in CRV token price.
Egorov had taken out substantial stablecoin loans worth nearly $100 million, using $140 million in CRV as collateral. This triggered a cascade of selling as Egorov’s positions were automatically liquidated to cover the loan amount, driving the CRV token price down by 30% at one point and causing panic in the DeFi market. Egorov has since acknowledged the liquidation and expressed his intention to repay the remaining debt shortly.
Please note that the information presented in this article is for informational and educational purposes only and does not constitute financial advice. Readers are advised to exercise caution and seek professional advice before making any investment decisions.