Justin Sun is part of an Asian investment group that took over cryptocurrency exchange Poloniex. Sun told this during a live broadcast on Twitter. Reportedly the exchange is getting 100 million dollars from the investment group to grow its user base and build out its infrastructure. The exchange is still working independently from Justin Sun and the Tron Foundation, but announced this week that Tron’s TRX token will be listed on the exchange.
At the moment Poloniex only listed TRX, but many more tokens will follow. According to Sun several TRC10 and TRC20 tokens will appear on the exchange in the near future. It’s very likely that the BitTorrent Token (BTT) and gambling token WINk will make a move onto Poloniex. It’s very clear that Poloniex is a way for Justin Sun to create more liquidity for his crypto projects, which include BTT and TRX.
In the coming month Poloniex will expand into China. The exchange will use a new domain, pwang.com. Pwang is a Mandarin nickname for Poloniex. The new portal onto Poloniex will allow Chinese customers legal entrance to the exchange as it follows local know-your-customer requirements.
Poloniex lost its position
In February 2018 Poloniex was acquired by crypto investment company Circle for $400 million. In those days the exchange was on the top of its game. However, the exchange has steadily been losing market share. Last month Circle and Poloniex split up, and the exchange continued to operate under its own corporation Polo Digital Assets. The new Asian investment group is putting $100 million into the exchange to build out its infrastructure and grow its user base.
Binance is currently the biggest
In terms of transaction volume, liquidity and overall market position Binance is the most popular exchange on the market. It’s CEO Changpeng Zhao has become a cult figure on social media, while his comments like ‘Funds are SAFU’ and ‘BUIDL’ have widely popular.
At the same time Binance is launching many new products. This week its announced a partnership with electronics manufacturer HTC. Last month the company became a Super Representative on the Tron blockchain. The company has exchanges for the international market, for the United States market, and a decentralized exchange. On top of that it allows trading in Bitcoin Futures.
Also published on Medium.