Following recent regulatory setbacks, TrustToken’s TUSD has for the first time since Binance’s BUSD introduction eclipsed BUSD’s market supply. TUSD’s circulation now exceeds BUSD’s $2.8 billion market valuation, according to data dated September 5. This crossover occurred at a time when Binance stopped offering support and BUSD-issuing Paxos stopped minting due to pressure from American authorities.
TUSD’s supply has increased by about 15.6% in just the last three days to reach over $3.4 billion. Without Binance’s support, BUSD’s value fell in the interim. The quick increase in TUSD was caused by a multitude of factors. One example is that Binance introduced new TUSD trading pairs and staking options through its Launchpool program. This increased the stablecoin’s potential applications.
TUSD also profited from BUSD’s regulatory difficulties. TUSD currently has the top stablecoin position on the biggest cryptocurrency exchange in the world. The shifting environment serves as an illustration of how regulatory actions might significantly undermine stablecoins’ market position. BUSD once had a bonus but swiftly lost ground as a result of its issuer’s legal investigation.
According to the most recent data available from CoinGecko, TUSD currently has a market cap of $3.4 billion, closely followed by BUSD with a market cap of $2.8 billion. BUSD is now available on 107 exchanges, whilst TUSD is only available on 54. The data also shows that the market capitalization of BUSD has fallen 16.8% during the past 30 days.
BUSD currently has a steep uphill struggle to restore control while rival TUSD is on the rise. The situation demonstrates the erratic nature of stablecoin rivals, who are controlled by external regulatory forces independent of each token’s control.