on the crypto
The flagship cryptocurrency of 2023 has seen a stratospheric 227% year-on-year growth and a staggering 96% in the past 30 days. Yet, before November, nobody talked about it. It was only after the FTX market crash that Trust Wallet Token exploded into prominence.
The reason is simple: in the wake of FTX, people are reluctant to hold cryptocurrencies on exchanges, and Trust Wallet Token solves this problem. Trust Wallet Token is the utility and governance token of Trust Wallet, one of the most popular cryptocurrency wallets for Investors. Instead of storing cryptocurrencies on a stock exchange, you can simply store them on your mobile phone. Considering all the drama surrounding FTX and discussions about the future of cryptocurrencies, Trust Wallet Token needs to be on your investment radar.
Trust Wallet vs. other cryptocurrency wallets
Of course, Trust Wallet isn't the only self-custody cryptocurrency wallet solution on the market. For example, if you're an active user of Coinbase, you've probably downloaded Coinbase Wallet to your mobile phone. So it's not that the Trust Wallet Token is an exotic cryptocurrency – it's just a cryptocurrency that you may never have heard of as a casual investor if you don't use the Trust Wallet. Right now, the Trust Wallet Token is actually one of the top 50 cryptocurrencies in the world by market capitalization.
In terms of features and overall performance, Trust Wallet scores highly. Many blockchain wallets only allow you to send and receive cryptocurrencies. Trust Wallet goes one better, allowing you to trade cryptocurrencies via an embedded exchange. It has a huge collection of 160.000 cryptocurrencies that you can choose from across 40 different blockchains. Also, Trust Wallet does a good job of abstracting all the layers that make cryptocurrencies complex to understand. Overall, Trust Wallet is secure, free, and capable of supporting numerous blockchains and cryptocurrencies. Trust Wallet is a true “all-rounder” wallet.
The link between Binance and the Trust Wallet token
To understand why the Trust Wallet Token has really taken off, though, one has to know that it has a direct relationship with Binance, which has played a major and controversial role in the ongoing FTX drama. In short, Trust Wallet is the official wallet of Binance. Just like you use Coinbase Wallet if you're a Coinbase customer, you use Trust Wallet if you're a Binance customer.
This would explain why the Trust Wallet token has exploded onto the scene since early November. Amidst all the negative news about FTX, Binance has been actively encouraging the idea of self-custody cryptocurrency solutions (i.e., users hold their own cryptocurrency, not the exchange), which has brought the Trust Wallet even more into prominence tokens. By purchasing the Trust Wallet Token, you align yourself with the idea of self-deposit. And, at least indirectly, you also align with Binance.
Is Trust Wallet Token a long-term purchase?
Most likely, Trust Wallet Token will continue to benefit from market volatility in the near term. Investors will likely continue to move their money from struggling cryptocurrency exchanges and switch to self-custodied cryptocurrency wallets like Trust Wallet. This will likely put continued upward pressure on the price of the Trust Wallet Token.
In the long run, however, the story is more complex. Firstly, the “FTX effect” will wear off at some point, so there may be a limited window to profit from the Trust Wallet Token. Secondly, there are currently many fears, uncertainties and doubts about Binance. Since Trust Wallet is the official wallet of Binance, this is a problem. If, at any point, people sense that Binance could become the “next FTX,” what will happen to the Trust Wallet Token?