Justin Sun invests $8 million in DeFi project River as analysts flag leverage-driven activity during token rally
Justin Sun invested $8 million in DeFi project River, whose token subsequently rallied amid concerns over extreme leverage in its futures trading.Summary
Tron founder Justin Sun invested $8 million in the decentralized finance protocol River, which specializes in cross-chain stablecoin infrastructure using its satUSD asset. This strategic investment is intended to support River's integration with the TRON ecosystem, including stablecoin pools and lending services on JustLend. Following the announcement, River's native token, RIVER, surged 24% to an all-time high. However, data analytics firm CoinGlass flagged that the token's rally was accompanied by extremely high leverage in futures trading, noting that volume exceeded spot volume by over 80 times. CoinGlass warned that such conditions suggest price formation is driven by leverage, liquidation cycles, and potential manipulation rather than genuine spot market activity.
(Source：The Block)