33B TRX to Be Unlocked on New Year’s Day (Despite No Plans for Use)

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TRON (TRX) will be unlocking 33B TRX on Jan 1, 2020. What these tokens will be used for has yet to be determined.



TRON will be starting 2020 with a massive token unlocking which will increase its current circulating supply of 66B by 50%. 33B TRX will be unlocked on the first day of 2020. The TRON Foundation locked the funds months after it migrated from Ethereum to its own mainnet. The account address is currently accessible to the public and can be viewed here. 

However, it seems that the whopping 33B TRX to be released does not yet have any specified plan. TRON News recently took to Twitter to ask the community what should be done with the soon-to-be-unlocked trove.

https://twitter.com/tronnews_/status/1210625634420084742?s=21

Opinions on what should be done with the 33B TRX split the community. Some argue it should remain locked away, while others say that a portion of it should go to developers on the TRON network.  Although the TRON Foundation is supposed to be not-for-profit, there are also fears the tokens could be dumped on the market. At current prices, 33B TRX is worth around $445.5M.



Part of the 33B could also be burned. However, TRON already plans to buy back $20M worth of TRX as announced in June.

 

Regardless, the fact that $445M worth of TRX tokens have no set short-term plan is concerning. There’s also room for speculation regarding TRON CEO Justin Sun’s recent acquisition of Poloniex — as it’s possible that the unlocked TRX could go towards boosting the exchange. Earlier this month, the exchange was caught tweeting ‘Buy TRON’ before deleting it shortly after. The fiasco was subject to significant ridicule in the cryptocurrency community, with many calling it a fall from grace for the once-popular Poloniex exchange.

With no established plan, it’s becoming increasingly clear that we will have to take TRON’s word for what it plans to do with the 33B TRX. However, as the cryptocurrency industry should know, trust alone is seldom a good enough reason.

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Raised in the U.S, Lucian graduated with a BA in economic history. An accomplished freelance journalist, he specializes in writing about the cryptocurrency space and the digital '4th industrial revolution' we find ourselves in. <a href="mailto:crypto.inquiries@protonmail.com">Email.</a>

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