After Binance, the exchange that purchased Trust Wallet in 2018, launched its own rival Web3 wallet, the value of Trust Wallet’s native token (TWT) dropped by 7%. According to CoinMarketCap, the token’s price is currently $1.49, down 7% from the previous day.
TechCrunch reports that in 2018, Binance acquired the wallet in exchange for a combination of cash, Binance stock, and a portion of BNB tokens. BNB was worth $14.80 in July 2018; it is currently trading at $244.
A product called Trust Wallet enables users to store and transact in cryptocurrencies throughout the Decentralised Finance (DeFi) network. Similar features can be found in Binance’s recently released wallet, which supports 30 different blockchains and allows for lending, borrowing, and staking.
The new wallet can only be accessed through the platform’s native app, which may be a drawback for users who lack or choose not to open a Binance exchange account. This is one difference, though.
Prior to Binance’s launch, TWT token had a great week, increasing by more than 60% since last Wednesday. TWT futures were listed on Binance’s exchange five days ago, and on Monday, the daily volume of the exchange increased from $80 million to approximately $476 million.