Techteryx claims it fell victim to a “large-scale fraud” that left TUSD’s stablecoin reserves trapped in unauthorized, illiquid investments.
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Court filings reveal that from 2023 to early 2024, TrueUSD faced a $456 million shortfall in its balance sheet due to reserves tied up in investments it couldn’t redeem.
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These investments primarily consisted of illiquid loans to resource development projects in emerging markets.
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Despite publicly maintaining only an advisory role, Tron founder Justin Sun stepped in with crucial funding to stabilize TUSD and restore user confidence amid the liquidity crisis.
Sources familiar with the situation, along with Hong Kong court documents, confirm that Sun effectively bailed out Techteryx’s TrueUSD stablecoin after nearly half a billion dollars of its reserves became inaccessible.
