Just (JST), a cryptocurrency based on the Tron network, skyrocketed up to 1,000 percent on the embattled FTX exchange as users began buying up remaining liquidity on the platform, it was found this week.
Tron traded at $0.33 on FTX at the time, or a fivefold increase of its current market price, trading data revealed.
Premiums for other coins such as BitTorrent (BTT) and Sun Token (SUN) also spiked from 525 percent to nearly 1,200 percent compared to current market prices, but remain highly volatile to date.
FTX Announcement Regarding the Tron Credit Facility:
— FTX (@FTX_Official) November 10, 2022
We are pleased to announce that we have reached an agreement with Tron to establish a special facility to allow holders of TRX, BTT, JST, SUN, and HT to swap assets from FTX 1:1 to external wallets.
News of the spike comes after now-bankrupt FTX allowed coin holders of the three Tron-linked cryptocurrencies to withdraw funds, leading to massive trading activities for the overinflated assets.
Buyers Beware
Should buyers sell the overinflated cryptocurrencies on other platforms, they will lose significant amounts of money while Tron capitalises on the spending spree, reports found. The company has also blocked users from depositing new Tron-based cryptocurrencies into their accounts.
The news comes after the FTX website said it could no longer process withdrawals amid the massive crypto run, and according to FTX.US, it may also block withdrawals from its platform.
Despite this, clients in The Bahamas could withdraw from their accounts, where the company is headquartered.
Rumours of alleged hackers erupted after anonymous ‘hackers’ began moving their money from the platform with little success, first spotted by Tobias Silver, founder of decentralised ecosystem Just Money.
I was looking at the FTX Tron accounts now and there was a funny thing how the alleged hackers (or internal team) were moving the funds out.
— Tobias Silver (@TobiasSilverJM) November 12, 2022
They first moved all TRX out from there and then they were trying to move 47M USDT out but there was no trx for energy fees anymore 1/4
He tweeted on Saturday: “I was looking at the FTX Tron accounts now and there was a funny thing how the alleged hackers (or internal team) were moving the funds out. They first moved all TRX out from there and then they were trying to move 47M USDT out but there was no trx for energy fees anymore.”
He continued, stating that the people had tried two times to move USDT but faced setbacks after the account had 0 TRX balances for gas fees, potentially after “Tether blacklisted them” following a second attempt to move money to a Kraken exchange account.
Kraken just said they know a name of the hacker. Hopefully my tweet helped to find him. Nevertheless good if there will be a chance for people to get at least some money back some day
— Tobias Silver (@TobiasSilverJM) November 12, 2022
They are normal people who have lost their life savingshttps://t.co/BIIpYBHFR7@MarioNawfal
According to Nick Percoco, Kraken’s chief security officer, the firm had identified the user. According to Silver, “They are normal people who have lost their life savings.”
