Tron (TRX) dives sharply as police raid Beijing offices on scam allegations


  • Ponzi victims accuse Sun of not dissociating Tron from the Ponzi Scheme.
  • Tron price sharply falls as new of Beijing office raid spread.

A Twitter user by the name ‘Hayden Otto” has just updated that Tron (TRX) Beijing offices have been raided by police officers. Moreover, the Twitter update says that a crowd of angry people is camped outside the offices uttering things like “Tron is a scam.”

This comes just a day after Yahoo Finance wrote a story on how Chinese victims of a billion dollar Ponzi scheme that made away with hundreds of thousands accuses the CEO and founder of Tron Justin Sun for acting complacent. The news was first reported by a Chinese crypto news website Nuclear Finance.

In China Tron is identified as “wave Field” however, the Ponzi-like “Wave Field Super Community” identified with the name and even claimed that they have an association with Tron Network as a way of convincing investors.

The scam platform closed down without warning last week and victims say that they have lost more than $30 million. In fact, Nuclear Finance says that the aftermath of the shutdown has led to one suicide case. As reported by Yahoo Finance:

“Investors are now enraged that Sun failed to disassociate Tron and BitTorrent, the other company he owns, from the fraudulent scheme. They claim that Tron’s crypto TRX benefited from increased activity and liquidity, as unwitting investors plowed their TRX into the scheme on the promise of major returns.”

Meanwhile, the news following the raid appears to be having a negative effect on Tron price as the value is depreciating sharply. From an intraday high around $0.036, TRX/USD is trading at $0.0337 amid a growing bearish trend. Technical indicators have turned negative as an indication of continuing declines. The next support target is $0.033, the 50 Simple Moving Average and $0.031.

TRX/USD 4-h chart


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