Tpunks marketplace volume skyrockets 996%
Justin Sun, the founder of the Tron blockchain, has boosted the NFT market with a recent purchase. Earlier today, he bought Tpunk #3442 for the whopping $10,5 million, boosting the dapp to second place in terms of 24h volume (+996%) among all Tron-based applications.
The purchase of the $10,5 million Tpunk wasn’t the only thing driving value for the NFT collection dapp on the Tron blockchain. Total volume for the dapp hit $11,7 million. This means that aside from Sun’s purchase, there had been transactions worth over $1 million. According to DappRadar data, Tpunks now ranks third in the 24 hour Tron Dapp Rankings when measuring the number of unique active wallets interacting with the platform.
Of course, a significant push from the founder of the blockchain is a serious vote of confidence for the Tpunks collection. While it might be just another copycat version of the Ethereum-based CryptoPunks, Tpunks now has a serious endorsement.
As more people are looking to run as far away as possible from the exorbitant Ethereum gas fees, copycat collections like Tpunks are gaining momentum. Another example of such a collection is Avalanche Punks, which is also seeing increased interest in the past couple of days.
Who is Justin Sun?
Justin Sun is a somewhat notorious figure in the cryptocurrency world. He is most notably recognized for creating and managing the Tron blockchain. He is also the acting CEO of BitTorrent, one of the largest torrent clients globally.
Impressively, Sun is only 31 at the time of writing, making him one of the youngest successful crypto entrepreneurs. He founded the Tron foundation in 2017, at the age of 25. Impressively, the Tron blockchain is now an established brand.
Justin Sun’s controversial investment strategy has continuously landed him spots in mainstream media coverage. Infamously, he postponed a $4.6 million charity lunch with top dog investor Warren Buffett. Additionally, Sun was the underbidder for Beeple’s “Everydays”, which sold for $69 million.
Why did he invest in Tpunk #3442?
Following this somewhat erratic pattern of substantial investments, Justin Sun has now put upwards of $10 million in a CryptoPunks copycat project. At first glance, this decision seems devoid of much logic and investment strategy. However, if you try and explore it through his lens, you might find some reasoning.
As the founder of the Tron Foundation, Justin Sun is the biggest driver of traffic and support for the blockchain. Seeing the rise of the NFT space in the past several months, such an exorbitant purchase may very well be the catalyst for an NFT boom on Tron.
Indeed, Tpunks are not the original CryptoPunks, but now a growing number of investors will be more than happy to have a Tron-based punk. The valuation and floor prices for an Ethereum-based Punk have been rising steadily for the past several months. This makes it impossible for small-time investors to join in the hype. However, projects like Tpunks are still very much on the down-low in terms of starting prices.
Backed with this much money, Justin Sun’s endorsement means a huge wave of attention will turn towards Tpunks. Popularizing the project and bringing more NFT collectors to the Tron blockchain is, of course, a good thing for him. Considering this, buying Tpunk #3442 might not have been such a rash investment.