Founder of the Tron blockchain Justin Sun, shared earlier today that the Tron blockchain is considering having a cold storage for large USDT holdings. The price of TRX responded positively to this news with the digital asset recording a rather significant gain as the crypto market faces a rough time.
Sun’s recommendation for safe storage of large USDT holdings using the cold multi-signature (multi-sig) approach on Tron comes just days after the ByBit hack. This hack saw the Dubai-based exchange lose $1.5 billion and shook the crypto market. However, ByBit confirmed that the exchange has recovered 100% of the reserve.
The recommendation by Sun underscores the need for stronger security measures which could reduce or put an end to the recent crypto hacks. Furthermore, stablecoin bank Infini was hacked recently with hackers making away with $49.5M worth of USDC coins.
Justin Sun Recommends Safe Storage of USDT Holdings Through Cold ‘Multi-Sig’ Method
With the surfacing of the notorious $1.5 billion hack by Lazarus group and the Infini $49.5M hack, the founder of Tron has recommended a safer storage measure for the Tron ecosystem USDT holdings.
According to Sun’s post on X on Feb. 24, 2025, the Tron Blockchain team “discussed storage solutions for large USDT holdings on our platform.” Sun recommended “storing them on the Tron blockchain using a cold multi-signature (multi-sig) approach.”
Cold Storage Recommendations for Large USDT Holdings
We have discussed storage solutions for large USDT holdings on our platform, and I recommend storing them on the Tron blockchain using a cold multi-signature (multi-sig) approach.
Reasons for this recommendation:
First, USDT…
— H.E. Justin Sun 🍌 (@justinsuntron) February 24, 2025
The Tron network offers USDT on a 1:1 basis just like on the Ethereum network. Additionally, this network has issued 62 billion USDT but it offers more benefits compared to Ethereum. These benefits are achieved through better management and improved security.
Justin recommended the multi-signature approach to large USDT cold storage on Tron because the blockchain supports native multi-signature functionality. This means that it is tied to the security of the whole blockchain and thus better than Ethereum which depends on Gnosis Safe.
TRX Outperforms Top 10 Cryptos With Over 1% Surge
The native token of the Tron blockchain, TRX is making big waves in the crypto sector. Today, the general crypto market has experienced massive volatility with prices of most cryptocurrencies including BTC dipping.
Looking at coin ranking by market capitalization on Coinmarketcap, TRX has outperformed all top 10 cryptocurrencies. While the price surge is not very significant it still shows the potential of the blockchain. As of the time of this writing, TRX traded at $0.2475 marking a 1.55% increase in the day.
If TRX continues to depict continued strength, the ecosystem could attract more interest across the market. This would push the prices further towards the resistance at $0.250 and would confirm strong upward momentum.
Illicit Transactions on Tron Drop Significantly
In a recent report shared by TRM Labs, the Tron ecosystem experienced a drop in illicit transactions in 2024. This report was created by T3 Financial Crime Unit established by Tether together with TRON DAO and TRM Labs. The three entities are primarily responsible for fighting fraudulent USDT transactions on the Tron blockchain.
The percentage of total crypto volume associated with illicit activity dropped to 0.42% in 2024. Previous years recorded higher percentage with 2023 having 0.86% and 2022 recording 0.69%.
With Justin Sun’s recommendation the Tron ecosystem could become more secure. This in turn will increase adoption which could make the price of TRX skyrocket. However, the market will monitor the price movement of TRX moving forward to determine whether this digital asset could reach a new all-time high in the near future.
This news is republished from another source. You can check the original article here
