In a strategic move back in 2018, Binance acquired TrustWallet in a deal that combined cash and BNB tokens, valued at $14.80 at the time. However, recent developments have seen TrustWallet’s native token, TWT, take a 7% dip as Binance, the very exchange that absorbed TrustWallet, launched its own Web3 wallet, intensifying competition in the crypto space.
As of the latest data from CoinMarketCap, TWT is currently trading at $1.49, reflecting its recent 7% decline over the past 24 hours. The acquisition of TrustWallet in 2018 was quite the cocktail, involving a blend of cash, Binance stock, and a portion of BNB tokens.
Remarkably, BNB tokens, which were valued at $14.80 in July 2018, have soared to $244, underlining the dynamic nature of the crypto market.TrustWallet has been a go-to product for users seeking to navigate the decentralized finance (DeFi) landscape, allowing them to securely store and interact with various cryptocurrencies.
Binance’s newly unveiled wallet closely mirrors TrustWallet’s functionalities, offering compatibility with 30 different blockchains and supporting staking, lending, and borrowing. Nevertheless, there’s a noteworthy distinction: Binance’s new wallet is exclusively accessible through the platform’s native app, potentially posing a hurdle for users who either lack or opt not to create a Binance exchange account.
Interestingly, the TWT token experienced a promising week leading up to Binance’s wallet release, marking a remarkable 60% surge since the previous Wednesday. Just five days ago, Binance made waves by announcing the listing of TWT futures on its exchange. This decision triggered a significant boost in daily trading volume, catapulting it from $80 million to approximately $476 million on Monday.
The crypto arena remains a dynamic and ever-evolving landscape, where the actions of major players like Binance can have a profound impact on the fortunes of associated projects, such as TrustWallet and its native token, TWT.