60k BTC and 60k ETH on Justin Sun’s Tron Seem Unbacked

Crypto analyst ErgoBTC has raised serious questions about the backing of TRC20 BTC tokens on the Tron network in a series of tweets. The analyst suggests that 60,000 of these tokens, currently parked in the JustLend protocol, appear to have never been backed. This implies an unbacked (non-existent) Total Value Locked (TVL) of $1.8 billion, which is roughly 50% of the current TVL in the JustLend protocol.

ErgoBTC’s tweets were in response to another tweet by a user named “alto | dollar.eth” who claimed to have found the wallet that backs the 60k ETH on Tron, but its current balance is zero. This raises further questions about the backing of TRC20 tokens on the Tron network.

In a typical centralized peg scheme, the custodian advertises their reserve holdings for transparency and trust, as seen with wBTC. However, information on the custodian for the TRC-20 BTC backing is practically non-existent.

The analyst conducted a thorough investigation into the existence of the total 114k BTC on the BTC blockchain. The findings suggest that if these coins exist, they are not sitting in a dedicated address. Furthermore, a deeper dive into the 60k “mint” done on August 21, 2022, revealed no signs of this activity on the BTC blockchain.

The investigation extended to major exchanges such as Poloniex, Huobi, and Binance, but none showed signs of the 60k BTC transactions. The TronDAO, which is not explicitly used for backing TRC20 BTC, also showed no signs of related non-exchange addresses.

The analyst concludes that these findings are signs that the TRC20 BTC on Tron was at best temporarily and partially unbacked, and at worst, still partially backed (-60k of the reported 114k BTC). The biggest impact seems to be a completely fake JustLend TVL, approximately 50% of which is apparently unbacked.

The tweets also trace the path of the 60k BTC minted on August 21, 2022, which was sent to JustLend for a 600m USDC loan. Half of this loan was repaid within two hours of creation, funded by an address attributed to Justin Sun. The remaining loan was funneled through another wallet, which also received from J-Sun and deposited over $1 billion to Circle in late September and early October.

The blockchain story ends here, but ErgoBTC notes that Huobi changed hands on OCT 10, 2022, one week after the >1B USDC deposits to Circle . The analyst emphasizes that the absence of evidence is not evidence of absence, but none of this would be necessary if the TRC20 BTC custodian was transparent.


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Poloniex celebrates its 9th anniversary

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Panama City, Panama, 18th January, 2023, Chainwire

Poloniex is celebrating its 9th anniversary this year as one of the most well-established global crypto exchanges with more products and services to be launched in the coming months.

Entering into a decade on January 18, 2023, Poloniex kicked off with a fresh start by revamping its website and app with a new user interface along with a new slogan – “Connecting you to the power of crypto”, which reflects Poloniex’s determination to empower more people to achieve financial success and experience revolutionary changes that cryptocurrency presents. 

Moreover, Poloniex starts off the new year with the launch of its futures grid trading bot with more products and services, such as staking, a lite version of the app and website, fiat on-ramp, and beyond in the pipeline. With the new features and services, Poloniex aims to provide customers with a secure and stable way to enhance their financial flexibility, diversify their investment portfolios, and optimize their overall trading experiences. 

As a proponent of emerging technologies, Poloniex is committed to focusing more on emerging markets and the development of the Web3 ecosystem. By doing so, the exchange will take part in hackathons, further optimize the knowledge-based platform, Polopedia, and organize in-person events to meet crypto enthusiasts around the world. 

“The past nine years have been a huge success for Poloniex since it has expanded to regions like CIS, LATAM, MENA, and APAC thanks to the team’s dedication and determination,” Eddie Jiang, Head of Marketing of Poloniex, remarked. “Our achievements wouldn’t be possible without the support of our users, and we will continue to provide them with better products and services in the future.”

Founded in 2014, Poloniex has achieved a lot of milestones. In 2022, the exchange launched a new trading system and trading API. In addition, Poloniex also added cross-margin modes to the spot and futures trading products last year to further elevate customers’ trading experiences. 

To celebrate its 9th anniversary, Poloniex has launched a series of campaigns to give away prizes worth over $1,300,000 to express gratitude for its customers’ long-term loyalty. 

For more information, please click here.

About Poloniex

Founded in January 2014, Poloniex is a global cryptocurrency exchange that supports spot and futures trading. With a world-class trading platform, Poloniex received funding from H.E. Justin Sun, Founder of TRON, in 2019 to widen its international customer base. Poloniex now provides services in over 100 countries and regions, in various languages. In 2022, Poloniex launched its new trading system with higher speed, stability, and usability. Joining hands with TRON, which is the national blockchain for the Commonwealth of Dominica with TRX granted statutory status as legal tender in the country, Poloniex will continue on its mission to connect users to the power of cryptocurrency.

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Sana Fong


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Poloniex to List ETH Potential Hard Fork Tokens in Support of the Merge

Poloniex, one of the world’s largest crypto exchanges, announces that it fully supports the Ethereum Merge with listing of two potential forked ETH tokens: ETHS & ETHW, with commencement date of trading on August 8.


Through its more than eight-year history in the crypto space, Poloniex has been always supporting the Ethereum community that it was the world’s first crypto exchange to list ETH. Although time goes by, the exchange’s support to the community remains unchanged that it also became the first exchange to show full support for the Ethereum Merge by listing potential forked ETH tokens: ETHS and ETHW, two of which represent the new PoS (proof-of-stake) chain and PoW (proof-of-work) chain respectively.

“We’ve witnessed the consensus mechanism of PoW as a key factor driving the expansion of the Ethereum ecosystem, and are willing to continue to support the development of the community.” H.E. Justin Sun, Founder of TRON and investor of Poloniex, made the announcement on Twitter. “We currently have more than 1 million ETH. If the Ethereum hard fork succeeds, we will donate some forked ETHW to the community and developers to build the Ethereum ecosystem.”

Prior to the official Ethereum upgrade, ETH holders on Poloniex can swap their ETH into either of the aforesaid tokens at a 1:1 ratio, and the exchange will also take corresponding measures to safeguard users’ assets and mitigate the risks from market volatility during the merge.

For more information, please visit https://support.poloniex.com/hc/en-us/articles/7911509585559-Poloniex-supports-lists-Ethereum-ETH-potential-hard-fork-tokens.

About Poloniex

Poloniex was founded in January 2014 as a global cryptocurrency exchange. With its world-class trading platform and security, it received funding in 2019 from renowned investors including H.E. Justin Sun, Founder of TRON. Poloniex supports spot and futures trading as well as leveraged tokens, and its services are available to users in nearly 100 countries and regions with various languages available, including English, Turkish, and Vietnamese.

Media contact

Sana Fong


Image source: Shutterstock


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Two firms account for the majority of Tether received: Report

Tether (USDT) has gone from being a renegade cryptocurrency to becoming the industry’s primary crutch during the last seven years, according to a new report. 

Essentially, USDT is a bridge between traditional currencies like the U.S. dollar and decentralized digital currencies operating on open blockchain networks.

Independent crypto outlet Protos provided an in-depth insight into the most common stablecoin and the liquidity providers who supply it to cryptocurrency platforms.

According to the report, issued USDT is primarily acquired by just two market makers. Between 2014 and October 2021, Alameda Research and Cumberland received a projected $60.3 billion in USDT, accounting for almost 55% of all outbound volume ever. According to Protos, the closest competitor minted a few hundred million USDT.

Source: Protos

Alameda Research, which is led by 29-year-old cryptocurrency billionaire Sam Bankman-Fried, acquired $36.7 billion, or nearly a third of all Tether produced. Cumberland Global, the world’s largest crypto liquidity provider, comes in second with $23.7 billion received. Cumberland is a DRW subsidiary, which was founded in 1992 and is regarded as one of the world’s major financial traders.

Protos states that Tether Treasury transferred $36.7 billion in USDT to Alameda Research, with $31.7 billion (86%) of it received in the last twelve months. This number equals approximately 37% of all outbound USDT volume.

According to the report, Tether sent over $30.1 billion (87%) of Alameda’s USDT to its cryptocurrency and derivatives exchange FTX. However, Alameda is also available on a variety of different cryptocurrency exchanges. The company received $2.1 billion (6%) on Binance, $1.7 billion (5%) on Huobi, and $115 million on OKEx. The remaining $705 million was transferred to non-exchange addresses.

Cumberland, on the other hand, received $23.7 billion in USDT. In the previous year alone, $17.6 billion in USDT (74%) was received from Tether Treasuries. This figure accounts for 22% of all outbound USDT volume ever recorded.

Protos notes Cumberland’s importance as a liquidity source and market maker for Binance, having been on the exchange since at least early 2019. Tether issued Cumberland $18.7 billion (79%) in USDT to Binance, with the rest going to other exchange platforms.

The liquidity provider received $131.5 million (less than 1%) on Poloniex, $9 million on Bitfinex and another $30 million on both Huobi and OKEx.

Tether remains the world’s largest stablecoin by market capitalization. However, the company’s token has been under scrutiny by regulators in recent times. As reported by Cointelegraph, the Commodity Futures Trading Commission (CFTC) levied fines totaling $41 million and $1.5 million against sister crypto firms Tether and Bitfinex for breaches of the Commodity Exchange Act and a prior CFTC order, respectively, on Oct. 15.