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Tron's Justin Sun Touts FTX Debt Token 'FUD' On Huobi As 'Top Quality Asset'

Published 06/02/2023, 03:32
Updated 06/02/2023, 04:40
© Reuters. Tron's Justin Sun Touts FTX Debt Token 'FUD' On Huobi As 'Top Quality Asset'
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Benzinga - H.E. Justin Sun, the founder of crypto exchange Huobi Global, has officially endorsed Debt DAO, a project that is issuing FTX users’ debt as a bond token, FUD, on behalf of FTX creditors.

What Happened: Huobi listed the FUD token for trading on Sunday. The exchange will enable withdrawals of the token starting Monday.

According to Sun, this bond token “represents the top quality FTX debt asset” and is set to “benefit everyone in the crypto world.”

Sun said that Debt DAO will do a 1:1 debt buyback for FUD holders after the airdrop. “This gives them [FTX creditors] greater control over their assets and opens up new opportunities for investment.”

Tron (CRYPTO: TRX) founder Sun said the FUD token will provide FTX creditors with a “new level of liquidity” and enable them to trade their FTX debt on the open market.

See More: Top Indian Apps That Give Bitcoin, NFT Rewards

“The listing of FUD Token on reputable exchanges like HuobiGlobal is a clear indication that the crypto industry is moving in a positive direction. The demand for FUD Token is a sign of confidence in the market and a vote of support for a positive attitude towards crypto," Sun said.

Debt DAO tweeted that the initial supply of FUD tokens will be 20 million for 20% of the confirmed debt amount, with a total value of $1 each.

Once FTX confirms the total debt amount through official disclosure, additional FUD tokens will be issued in proportion and distributed to FUD holders through an airdrop. For example, if the confirmed amount of debt is $60 million, another 40 million FUD tokens will be released.

Price Action: At the time of writing, TRX was trading at $0.06 down 0.46%, in the last 24 hours, according to Benzinga Pro.

Read Next: Bitcoin, Ethereum, Dogecoin Dip: Analyst Sees Apex Crypto Being 'Content' At $23K Level As 'Good News'

© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Read the original article on Benzinga

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