Stablecoin TrueUSD (TUSD), affiliated with Justin Sun, experienced a significant drop in market capitalization, losing nearly 80% after the crypto exchange Binance removed several trading pairs involving it.

Issued by the TrustToken platform, now operating as Archblock, TrueUSD (TUSD) saw a decline of 78.9% in market capitalization following the delisting of several TUSD pairs on Binance, as reported by analysts at CCData.

According to CCData’s latest stablecoin research, the monthly trading volume for TUSD pairs on centralized exchanges has plummeted to $569 million. This represents a decline of nearly 99% since May 2023.

“Binance remains the dominant exchange trading the most TUSD pairs, holding a market share of 68.2%. WhiteBit and BitMart follow with market shares of 13.4% and 5.32%, respectively. The stablecoin has recently introduced a zero-fee trading promotion for the TUSD/TRY pair on Bitci to boost its adoption.”

In May, analysts noted that the total market value of stablecoins increased by 0.63% to $161 billion, marking the eighth consecutive month of growth and reaching the highest level since April 2022. This increase signifies a recovery in the stablecoin market, which had been on a seventeen-month downtrend following the collapse of TerraUSD.

TrueUSD was launched in March 2018 by TrustToken, a firm co-founded by Rafael Cosman, Stephen Kade, Jai An, and Tory Reiss. The stablecoin was designed to provide a transparent and legally protected stablecoin fully collateralized by the U.S. dollar, ensuring its value remains stable. However, following its removal from Binance and issues with custodian Prime Trust, TUSD has several times lost its peg to the U.S. dollar, raising concerns about the stablecoin’s reliability.

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