The TRON Foundation, which has been recently on a spending spree, recently received $2 million from the US government as part of the Paycheck Protection Program. The issue has caused a lot of controversy in the crypto community on Twitter, especially considering how much money TRON has shelled out in the past two years in acquisitions.
Crypto Community Objects to the Handout
Several prominent figures in the crypto world are objecting to TRON being given so much money from the relief program. They claim that TRON’s finances are in good shape and the handout is not justified.
The US government gave the handout as part of relief efforts for small businesses in the US that have been affected by the ongoing COVID-19 pandemic. Relief funds are being distributed via the Payment Protection. However, recent reports reveal that the Small Business Administration has been facing many challenges when trying to ensure that funds get to the right people.
One good example of this is that TRON was able to receive over $2 million from the US government in assistance. Tron revealed the news via a WeChat post. In the post, TRON says that the US government released the funds to small businesses as part of a relief program. It further states that TRON has already received about over $2 million and they will receive another amount of slightly above $2 million soon. The post states that if the funds are used appropriately, businesses that receive them will not have to repay the government.
Why the Revelation on WeChat
Matthew Graham, the CEO of Sino Global Capital, which is based in Beijing, speculated on why Tron made the announcement on WeChat, a popular social media site in China. According to a tweet, Tron made the revelation on WeChat to create the impression that the US government had given some kind of implicit endorsement to the TRON Foundation. He called the move unethical. As a result, he accused Sun and TRON of trying to use the problems the PPP is experiencing to boost the legitimacy of the TRON Foundation.
It is worth noting that many small businesses in the US are still struggling to get through the complex process of receiving aid from the government. Some have even been rejected without any explanation. Meanwhile, Sun has managed to receive over $2 million with ease. Zach Herring, who is the program director of consenSys, observed on Twitter.
Sun is a Controversial Figure
Justin Sun has been a source of controversy in the crypto community. For instance, he recently orchestrated the hostile takeover of Steem. One reason he was able to do this is that he has the resources to do it.
Another controversy arose when he held a $5 million dinner with Warren Buffet. The dinner was postponed numerous times but it eventually went through. With these two examples alone, it is obvious that Sun and the TRON foundation did not need government assistance.
Thus far, Tron and Justin Sun have not made any public statements regarding the controversial amount they received from the government.
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