TRON Founder Justin Sun Reportedly Working on BitTorrent Acquisition

  • TRON founder Justin Sun is reportedly working on acquiring popular uTorrent holding company BitTorrent, according to legal documents.
  • The move was discovered after Justin Sun sued the company over a "No Shop" clause in an agreement.

BitTorrent Inc, the company behind the popular torrent client uTorrent, is reportedly getting close to being acquired by TRON founder Justin Sun, as both parties are said to be finalizing the deal’s last details.

According to Torrent Freak, the move was uncovered through legal paperwork filed earlier this year that revealed BitTorrent – which quietly renamed its company to “Rainberry” last year- was sued by Justin Sun over a “No Shop” clause in an agreement it signed in January.

Reportedly, Sun started eyeing the acquisition back in September 2017, and in January of this year both parties finalized a letter of intent. Sun’s lawsuit claims that, just as things appeared to be on the right track, BitTorrent’s chief executive officer Ro Choy revealed he received “superior” bids from other companies.

The lawsuit claims:

“Within literally hours after the parties agreed to the Letter of Intent, and after Ro Choy began performing the terms of the Letter of Intent, Defendant claims it received three ‘superior’ bids from companies that David Chao admitted they had been communicating with.”

Justin Sun's lawsuit

In response Sun asked the court for a restraining order, to see BitTorrent cease communications with other potential buyers. The court swiftly dismissed the case, but its paper trail was eventually found.

Per Torrent Freak at the end of February, right after the exclusivity period ended, a holding company dubbed “Rainberry Acquisition” was registered in California by Sun. BitTorrent, a company whose products have over 100 million users, confirmed the acquisition hasn’t yet been finalized.

BitTorrent has been going downhill in the past few years, partly due to questionable management practices. Its massive user base and products, however, may be of TRON’s interest, as the cryptocurrency’s ultimate goal is to “decentralize the web.”

The cryptocurrency’s whitepaper, which some claim was mostly copied from other projects, mentions torrents as one of the pillars for its goal. At press time, TRON’s market cap is of $4.76 billion. Its TRX token is up by 5.09 percent in the last 24-hour period, and is trading at $0.072, according to data from CryptoCompare.

As covered by CryptoGlobe, the TRX token has been surging ahead of its mainnet and virtual machine launch. TRON’s mainnet is set to go live on May 31 as it launches its own blockchain, a development most of the cryptocurrency’s proponents have been looking forward to.

Tether Gold (XAU₮): A New Tokenized Gold Product Built on Ethereum and TRON

Siamak Masnavi

On Thursday (January 23), Tether launched a new product called Tether Gold (XAUt), which is a crypto token -- available as an ERC-20 token on the Ethereum blockchain and as a TRC20 token on the TRON blockchain -- representing "ownership of one troy fine ounce of physical gold on a specific gold bar" held in a Swiss vault. 

Paolo Ardoino, CTO at Tether, had this to say:

There is growing demand for digital exposure to physical gold, making the launch of Tether Gold a timely innovation in the crypto ecosystem. Tether Gold provides the combined benefits of both physical and digital assets, removing the drawbacks of holding gold in more traditional ways, such as high storage costs and restricted access.

The XAUt token "can be transferred to any on-chain address from the purchasers' Tether wallet where it is issued after purchase." A particular gold bar(s) "will be associated with each on-chain address where Tether Gold is held."

The allocated gold is "identifiable with a unique serial number, purity and weight" and XAUt token holders are able to verify "the details of the gold bars associated with their address" via the Tether Gold product page on the Tether website. 

Tether Good Lookup.png

Tether Gold is a cryptoasset issued/sold by TG Commodities Limited (a UK company incorporated in December 1998). Each XAUt token represents "one troy fine ounce of gold on a London Good Delivery gold bar" and may be "fractionalized up to six decimal places (i.e. in increments as small as 0.000001 troy fine ounce)." 

Here are a few more important things you should know about Tether Gold:

  • You need a verified account with TG Commodities Limited if you want to buy XAUt directly from its issuer. The minimum purchase amount is 50 XAUt (worth approximately $78,250 as of 23 January 2020). The purchase price must be paid in USD.
  • XAUt tokens can be traded on supported exchanges (such as Bitfinex) "in fractions as small as the exchanges permit.", but you do need to pay 
  • There are no custody fees, but you do need to pay "a one-time 25 basis point fee at the time you purchase an XAUt from TG Commodities Limited and certain additional fees on redemption." 
  • To redeem Tether Gold tokens, you need a verified account with TG Commodities Limited. You must have at least "one full bar of gold worth of tokens" in order to use the redemption service. The physical gold can be delivered to either somewhere in Switzerland or the XAUt token holder can ask TG Commodities Limited to sell their physical gold and receive USD from the proceeds of the sale. 

Featured Image Credit: Photo via Pixabay.com