TRX shows promise despite Tron’s legal troubles
- Tron observed a positive price trend despite ongoing legal battles involving founder Justin Sun and the SEC.
- Tron gained an extension in the case citing changes at the Foundation and the Ripple case’s relevance.
Despite the recent bearish sentiment gripping the cryptocurrency markets, Tron [TRX] has shown a surprising uptick in its price over the last few days. The token’s surge remained unaffected by the regulatory pressure on the Tron Foundation.
Realistic or not, here’s TRX’s market cap in BTC’s terms
Looking at the legal side
For context, in March 2023, a storm of legal troubles descended upon Justin Sun, the Tron Foundation, the Bittorrent Foundation, and Rainberry, an associated entity.
The U.S. Securities and Exchange Commission (SEC) filed a lawsuit against them. The SEC alleged that they offered TRX and BTT tokens to investors without proper registration, thus violating U.S. securities regulations.
One of the latest developments in this legal saga is an extension of the timeline for the defense. A court order dated 14 September, 2023, granted a request for more time from Sun and Rainberry’s legal team. They successfully argued that additional time was needed due to two significant factors.
Firstly, the Tron Foundation, had undergone substantial changes in April 2023 and was in the process of rejuvenating itself in Singapore.
Secondly, the recent developments in the SEC’s case against Ripple Labs were seen as relevant to Tron’s situation. Sun’s legal representatives believed it was crucial to closely examine the proceedings related to Judge Torres’ decision in the Ripple case.
The letter to Judge Edgardo Ramos, presiding over Tron’s case, specifically mentioned that the SEC had filed an interlocutory appeal against Torres’ judgment, adding further complexity to the situation.
The result of this plea for an extended timeline is a new deadline set for 8 December, 2023, providing approximately 76 more days for the defense to prepare.
State of affairs of TRX
While these legal battles continue, TRX’s market performance saw a relatively positive trend. At the time of writing, TRX was trading at $0.084.
Is your portfolio green? Check out the TRX Profit Calculator
However, it’s worth noting that despite the price gains, social mentions of TRX dropped by 32.4%, and social engagement with the token decreased by 7.2%.
On a positive note, TRX’s weighted sentiment, a measure of market sentiment on the social front, continued to rise. This suggested that despite the legal challenges and market fluctuations, there remains a positive sentiment surrounding TRX among traders and investors.