- TRON saw the biggest drop in illegal volume, while figures for the same volume fell by $6 billion
- TRX registered a 3.02% increase on the charts
Over the past year, TRON has worked hard to rebuild its reputation and increase its acceptability, while reducing its legal problems.
In fact, the blockchain has attempted to combat crimes by restricting and confiscating assets obtained through criminal activity. To do the same, companies such as TRON, Tether and TRM Labs have started working together through T3 FCU in 2024. According to Justin SunThese efforts are now paying off, with illegal volumes falling across the board.
A significant decrease in illegal volume
According to the TRM reportTRON saw a number of positive trends in 2024. During the year, the largest percentage of illegal crypto activity took place on the TRON blockchain, with 58% of the illegal volume. This was followed by Ethereum with 24%, Bitcoin with 12%, Binance Smart Chain with 3% and Polygon with 3%.
This highlighted the growing demand for low transaction fee blockchains, smart contracts and popular stablecoins.
While TRON seemed to be leading the way on this front, it’s worth noting that this is also where the most significant decline in illegal activity occurred. In fact, illegal volume on TRON fell by $6 billion, with the share of such activity nearly halving. Notably, 49% of Tron’s illegal volume was associated with sanctioned entities, while 32% involved blacklisted funds.
This decrease in illegal volume on TRON is due to the blockchain’s focus on rooting out illegal actors on its blockchain.
In August 2024, TRON, Tether and TRM established the T3 Financial Crime Unit (T3 FCU) – aimed at facilitating a public-private partnership to combat illegal activities using USDT and Tron Blockchain. Since its founding, the organization has frozen more than $130 million in illegal proceeds.
What does this mean for TRX?
As the number of illegal transactions within the TRON blockchain decreases, this is good for TRX. Simply put, TRX will benefit more because more users will trust the network – resulting in higher adoption and new users. Notably, TRX posted modest gains in the last 24 hours alone, as investors took advantage of the good news about the network.
For example, at the time of writing, the altcoin was trading at $0.244. This marked a gain of 3.02% in the past 24 hours, with the crypto also posting gains on the weekly charts.
Now that TRX is making these gains, the question arises whether it can maintain these gains.
According to AMBCrypto’s analysis, TRX is seeing strong upward momentum on the charts lately.
Source: Tradingview
For example, TRX has made a bullish crossover on its RSI over the past 24 hours. This crossover suggested that buyers are dominating the market while sellers are losing momentum.
Simply put, the altcoin is seeing its momentum strengthen. This trend was further confirmed as the rising MACD line moved closer to a new bullish crossover.
Source: IntoTheBlock
Looking further, all market participants seem optimistic and are constantly accumulating.
This is evident from a sharp decline in net flows to stock exchanges. In fact, net flows fell to negative values – a sign of more transfers from the exchanges.
Source: IntoTheBlock
Finally, TRON whales are also bullish and continue to buy the altcoin. For example, large investors’ net flows turned positive after remaining negative for days. This illustrated an increase in whale capital inflows, compared to outflows.
In conclusion, as TRON sees a decline in criminal activity within its blockchain, it is positioning the network for further growth through adoption, regulatory approvals and usage.
Credit : ambcrypto.com
